ANNUAL REPORT 2009 1 April 2009 to 31 March 2010
1 SACAP Annual Report 2009 - 2010 Section One Governance
Highly competent Operationally ensuring Transparency: architectural excellence in Disclosing information professionals performance and responsibly and compliant with service delivery and promoting a culture of international best fostering collaborative openness practice and serving relationships with Respect: Treating the needs of roleplayers in order to: everyone with the developing • be responsive to the highest regard and economies. needs of the public dignity starting with • maintain a quality and greeting sustainable skills Accountability: base in the Accepting responsibility profession Courtesy: Being • ensure good friendly, helpful and governance which thoughtful at all times results in a positive Professionalism: impact on built
Vision Conducting ourselves in environment practice line with best practice, • grow the information Values e.g. good planning, and knowledge hub decision-making, • promote communication, doing Mission transformation and one’s job, doing what is diversity within the right built environment Integrity: Exhibiting honesty, trust and ethical behaviour 2 SACAP Annual Report 2009 - 2010 Section One Governance
ANNUAL REPORT 2009 1 April 2009 to 31 March 2010
3 SACAP Annual Report 2009 - 2010 Contents
SECTION ONE SECTION TWO SECTION THREE SECTION FOUR GOVERNANCE OPERATIONS MANDATES ACCOUNTS &
INTRODUCTION: THE ROLE OF THE CHIEF OPERATIONS OFFICER REPORT ACCREDITATION 40 FINANCIALS ARCHITECTURAL PROFESSION IN 34 RESEARCH 41 CHIEF FINANCIAL OFFICER’S REPORT SOCIETY 7 SACAP STAFF ORGANIGRAMMES 68 REGISTRATIONS 42 REPORT OF THE OUTGOING PRESIDENT 36 AUDIT AND RISK COMMITTEE MALCOLM CAMPBELL 8 CONTINUING PROFESSIONAL MARKETING AND COMMUNICATIONS CHAIRPERSON’S REPORT 72 REPORT OF THE INCOMING PRESIDENT DEVELOPMENT 51 38 MR PHILL MASHABANE 10 SACAP COMBINED ANNUAL RECOGNITION OF PRIOR LEARNING FINANCIAL STATEMENTS FOR THE YEAR REPORT OF THE REGISTRAR 54 74 DOROTHY BRISLIN 12 ENDED 31 MARCH 2010 LEGAL COMPLIANCE 58 SACAP COUNCIL 14 SACAP EDUCATION FUND FINANCIAL EDUCATION FUND 59 ANNUAL STATEMENTS FOR THE YEAR COUNCILLOR’S PROFILES 15 104 PROFESSIONAL FEES 63 ENDED 31 MARCH 2010 COMMITTEE STRUCTURE 19 IDENTIFICATION OF WORK 65 COUNCIL COMPOSITION 20 SACAP CODE OF CONDUCT 66 MEETING ATTENDANCE 21 GLOSSARY 117
STRATEGIC VISION 24
STAKEHOLDERS 25
INTERNATIONAL ENGAGEMENT 28
SOCIAL RESPONSIBILITY 30 Section One Governance
5 SACAP Annual Report 2009 - 2010 Section One Governance
6 SACAP Annual Report 2009 - 2010 Section One Governance
Introduction: The Role of the Architectural Profession in Society
Architecture can be described as an societies, and the environment. art or a complex technical, cultural and philosophical spatial language. It Architecture, like science or philosophy, should be reveals the way we feel about experimental, taking on conceptual problems and ourselves as well as our attitude interests much larger than itself. Architectural towards others. professionals are specialised operators of many architectural tools, all of which add up to an act of ne of the primary roles of South translation. They are able to offer many different African architecture is the visions of our world which are able not only to speculative, experimental and shelter and sustain us, but to inspire us. inspirational reframing of our O Buildings outlive people, and this makes them a society post-1994. Architecture frames just as we legacy for future generations. Architectural frame it. professionals have the worthwhile task of ensuring Contemporary South African architecture does that the buildings they design are both sustainable not cater to the wider community, nor does it and that they reflect the innovative thinking of actively encourage the formation of an Architectural professionals need to begin an their time. imaginative public domain. experimental re-imagination of themselves as Reference: Sarah Calburn - Opening Plenary at the “new” South Africans; as thought-makers in the The thinking that guides architectural design has Green Building Conference 2009 world. always been to give the clients what they want. This thinking has effectively removed architectural Buildings cannot be seen in isolation from their professionals from the position of being urban inhabitants, cultures, societies, systems, or visionaries. Architectural professionals ought to landscapes. Buildings become infrastructure and be claiming space for their highly specialised art; part of the landscape. The architectural imaginations, instead of allowing themselves to be profession needs to take responsibility for its relegated to the decorators of entities. work; to consider its impact on the cities,
7 SACAP Annual Report 2009 - 2010 Section One Governance
Report of the outgoing president Malcolm Campbell (1 April – 31 October 2009)
his report marks the end of my eight-year They formed part of a large pool of unregistered universities and former technikons to tenure as SACAP President. It also architectural practitioners (considerably larger support mobility and portability between brings to a conclusion a significant than the relatively small pool of registered these institutions, as promoted in the T25-year chapter in my life, during which architects) and were responsible at the time for National Qualifications Framework. I have persevered in pursuing and implementing approximately 80% of all plans submitted • Facilitating regional platforms between the goals of creating a regulatory body which is nationally to local authorities for approval. In the universities and former technikons to INCLUSIVE - in covering all categories of main, these plans were related to residential work promote co-ordinated approaches to architectural practitioners and in protecting all of less than 500m2, which was not protected in admissions, academic co-operation and the sections of the public, particularly the poorest and terms of the Architectural Act of 1970, in force at sharing of resources. most vulnerable and TRANSFORMED. the time. This meant that except for the relatively small section of the public executing work of over • Incorporation of the heads of technikon My work within this area commenced during the 500m2, an overwhelming majority of the public departments of architecture in the National 1980s and early 1990s, when I taught in the were left unprotected when commissioning Heads of Architectural Schools Committee, Department of Building and Architecture at the architectural services. which considers national imperatives with then Peninsula Technikon in Bellville. At the respect to architectural education. time, I soon observed that a large number of my Over the past 25 years, through pressurising students, unable to find continuous work within SACAP’s predecessor and through active • Implementing the Recognition of Prior a perennially suppressed economic environment, collaboration within SACAP structures, the Learning (RPL) mechanism as championed were offering their services directly to the public. following significant achievements can be in the National Qualifications Framework, Many of them were offering a competent service, recorded under my leadership: which permits practitioners to be promoted despite the fact that the technikon course at the from a lower to a higher category through • Revision and enhancement of the time offered little to support this role. A number an assessment of their knowledge base. curriculum for programmes at former of these students demonstrated skills which technikons (now called universities of • Replacing the Architectural Act of 1970 should have ensured them an easy passage technology) to support graduates in terms of with the South African Council for the through university towards qualifying as an their role in practising independently. Architectural Professions Act No 44 of architect, but were denied this by being 2000, which registers four distinct categories • Enhancement of progamme offerings at economically and educationally disadvantaged of architectural professionals and through former technikons to permit graduates to largely as a consequence of their prejudiced status the Identification of Work Policy (IDoW), qualify as architects from these institutions. in apartheid society. which determines that each category may • Facilitating mechanisms between only perform work which they are 8 SACAP Annual Report 2009 - 2010 Section One Governance
competent to undertake. grow in confidence and, towards the end of the term, displaying a willingness and ability to • Developing an IDoW after extensive and engage in debate in a robust manner. Three of difficult consultations with a wide range of these members have been appointed to the new stakeholders. The policy is now in its final Council and it is hoped that the new Council will approval stages prior to promulgation. benefit substantially from this period of initiation. • Developing and implementing a continuous Lastly, I must credit the staff of SACAP who have professional development (CPD) survived a number of challenges and upheavals as programme, which ensures that all registered a result of the organisation’s rapid growth. Credit professionals take responsibility for ensuring must also go to the Registrar, Dorothy Brislin, for that they keep abreast of new developments providing strong leadership and for her singular in the profession. determination in safeguarding the transformation • Putting in place a number of committee goals of SACAP and ensuring that these were not structures which are representative in terms compromised in any way. of categories of professionals, regions, race contributed significantly in shaping these and gender. initiatives, with selflessness, dedication and • Initiating an annual ‘Bosberaad’ Forum commitment. In the context of this report, where voluntary associations recognised by particular credit must go to the outgoing Council, Malcolm Campbell SACAP and Heads of Schools meet to which has worked consistently and loyally Outgoing President review strategic issues affecting the throughout, and whose high level of commitment profession and to explore common platforms can be gleaned from the excellent record of for addressing them. attendance at meetings, which have been far in • Initiating a programme of ‘road shows’ which excess of the mandated four per annum. facilitate direct contact between SACAP and As part of the succession plan of the outgoing key stakeholders at regional levels in order to Council, four representatives of categories of address issues related to the roll-out of key professionals either under-represented or not SACAP initiatives. represented on the Council, were co-opted onto Credit for the above must be shared with a small the Council for the final year of term. One of my group of people who over the years have greatest joys was to see these members gradually 9 SACAP Annual Report 2009 - 2010 Section One Governance
Report of the incoming president Phill Mashabane (1 November 2009 – 31 March 2010)
ACAP was established according to an their career? There has been some improvement the project’s impact on society. A presentation act of parliament which acknowledges in recent years, with SACAP making a focused showing poorly implemented projects would serve that architectural professionals can effort to communicate its activities to both to upskill professionals in terms of the do’s and Simpact the lives of the public, as well as professionals and the public. Going forward, we don’ts. Of great value for skills development are other professionals in the industry. The are planning an even more targeted drive to topics such as contract administration and law, Architectural Profession Act 2000, Act No 44 of increase the volume and quality of client relationship development, environmental 2000, thus serves to protect the public from communication. In addition, a marketing and issues and stakeholder impact. unprofessional service and safeguards the education programme will be introduced to raise The response from the architectural profession to credibility of the profession. awareness of the mandatory requirement for CPD has not been as positive as hoped. SACAP registration, as well as the value thereof to Registration is thus in the process of planning an intervention professionals. There has been an increase in registrations across to encourage buy-in to the process. The ultimate all categories, which is a positive move towards In terms of administration SACAP is cognisant of goal of CPD is to develop the entire architectural incorporating all the various disciplines within the public comment and is responding by improving profession, which is of benefit to all who interface built environment under a single roof. However, the administrative aspects that hamper any with the work done. It can be likened to a doctor in order to ensure that registrations remain valid, growing organisation. There is a particular in the medical profession who continuously needs SACAP needs to engage with practitioners to emphasis on communication and relations with to update his/her knowledge and skills in order to effectively implement continuous professional affected parties, and also on increasing the do his/her job effectively and to stay at the top of development (CPD). Council’s staff complement to meet demand. his/her game. So too should architectural Continuing professional development professionals view the process, not as an The engagement of SACAP with other built inconvenience, but as a way to uplift and improve environment stakeholders is imperative in The purpose of CPD needs to be reviewed and the profession as a whole. enabling a holistic understanding of the role clearly presented to professionals. Research is Code of Conduct architecture plays in society. It is important for required to establish the specific requirements that experts in the industry to lead the growth of the will assist professionals to improve their skills for Education is of key importance when it comes to built environment, and to represent the profession purposes of renewal of registration. protecting the public and the architectural as a whole. profession. Not only does the public need to be An example of an activity that would add value is made aware that SACAP is available to assist In the past the attitude of registered persons a presentation of a particular architect’s piece of them, but professionals need to be familiar with towards registration with SACAP has not been a work detailing the skills required to deal with the the Code of Conduct and adhere to it. The Code positive one. The question on the minds of complexity of the project, how the client’s needs of Conduct has been compiled with the input of professionals is what value does registration add to were met, and what was done to take into account 10 SACAP Annual Report 2009 - 2010 Section One Governance
leading professionals and includes everything a design. It is important for design to be relevant professional would require to adhere to best to the project location, enhancing the practice. environment and the societies that it serves. Encouraging the development of local content SACAP has been working on a more efficient will raise the profile of the profession worldwide. process to handle incoming complaints falling within its jurisdiction, and to ensure a prompt and The built environment but do not train students in the practical skills useful response to matters falling outside The built environment has typically been required to deliver a project, e.g. architectural SACAP’s control. Over time, ongoing education controlled by developers with little participation administration, site management and the co- and efficient processes should lessen from architectural professionals. As ordination of services and professionals. SACAP unprofessional service, and in turn result in fewer representation of each profession improves on the will raise awareness of the importance of these complaints. various councils, the balance of power should skills and work with educational institutions to Education shift. introduce practical training into curricula. This Attracting students to the profession is an will ensure that candidates enter the profession Councils should build relationships with important objective for SACAP. This will be appropriately equipped to manage all aspects of institutions such as the Estate Agents Board in achieved utilising advertising and outreach events, their vocation. order to raise awareness of the profession. This including interventions at school talks conducted will assist other industries to understand what Architectural professionals should be able to adapt by architectural learning sites. part the architectural industry plays in the South their work to any society or environment. In African economy. Transformation is required in educational order to do so they require the skills to assess and institutions to assist potential architectural read their surroundings accurately. These skills In conclusion I would like to express that it is a professionals to find their specific talent within will allow them to work effectively in any country. privilege, honour and a call of duty to have been the built environment profession. To aid this elected to Council. I look forward to serving all Together with architectural learning sites, SACAP process, the many different career paths need to be of our stakeholders alongside my fellow Council plans to develop a strategy to integrate innovative clearly documented and communicated, both to members. ways of educating in order to cultivate the skills educational institutions and to students. This will which the industry expects from architectural ensure that an individual is correctly placed and professionals. This exercise will include a return to can excel in a career that matches their particular original philosophies surrounding Afrocentric personality and talents. designs and regional interpretation, as historically Phill Mashabane Typically universities teach theoretical knowledge the focus has primarily been on Eurocentric President 11 SACAP Annual Report 2009 - 2010 Section One Governance
Report of the Registrar, Dorothy Brislin (1 April 2009 – 30 March 2010)
e celebrate the closure of the intention of ensuring that the transformative completed. financial year ending 31 March ethos of the second term Council could be The second half of the year saw intensified 2010, which corresponds with continued, consolidated and sustained. engagement with the Council for the Built the period under review, with W The process of appointing the third term Council Environment (CBE) which conducted a number SACAP’s first unqualified audit in four years. The took place as prescribed in the Architectural of research processes towards the development of year was divided into two distinct periods of seven Profession Act No 44 of 2000. It involved public, policy frameworks for the built environment months and five months respectively, due to the stakeholder and state nomination processes, professions. The first stakeholder feedback on statutory requirements determining the term of followed by assessment and shortlisting by the research conducted on the “State of the Built SACAP’s governing structure, the Council. This second term Council and final appointment by Environment Professions” took place in February period was characterised by the transition from the Honourable Minister of Public Works, Geoff 2010. Flowing out of this, various bilateral and the second term Council under the visionary Doidge. multilateral benchmarking engagements took leadership of Mr Malcolm Campbell to the third place between SACAP and the other built term Council who elected Mr Phillemon Intensive handover and induction processes were environment professional councils. Mashabane as its new President on 1 November undertaken to bring the third term Council on 2009 at its first sitting. board, culminating in a policy workshop which SACAP participated in a series of workshops in focused on SACAP’s regulatory functions and the education sector in relation to preparation for Most of the Council’s activities of the first seven policies, and a governance training session in implementation of the new Higher Education month period centred around preparation for the January 2010. Management and committees Qualification Framework (HEQF) and South transition, starting (in the previous year) with continued with work under the mandates and African Qualification Authority (SAQA). Crucial succession planning, bringing the work of the authorities set by the second term Council up input was made into these processes which impact second term Council and its 14 committees to until the end of the period as it is envisaged that on our mandate under the Act in addition to closure. It also involved the finalisation and the third term Council will complete a review of policy development and implementation. SACAP implementation of a robust set of governance committees and a strategic planning process in the also ran a national workshop with accredited policies in line with the King III Report on next financial year. learning sites (ALS), SAQA and the Council for Corporate Governance, ensuring the sustainable Higher Education (CHE) in which institutions management of resources and stabilising the The Audit and Risk Committee was particularly offering accredited architectural programmes operational structure which had recently active in this period driving the development and grappled with their individual and collective undergone vast growth and transformation. All review of policies where gaps were identified. At response to the new provisions of the HEQF and this was accomplished before the inauguration the close of the period, SACAP’s first risk register the implications of this in relation to existing and hand-over to the third term Council with the and three corresponding internal audits had been qualifications. 12 SACAP Annual Report 2009 - 2010 Section One Governance
SACAP’s participation in the Green Building of skills, promoting the profession and Conference in South Africa and the Eco-Building encouraging sustainable approaches. Conference in Mauritius this year involved a In conclusion, the period under review has been number of groundbreaking interventions in extremely challenging as much as it has been partnership with the organisers, which included: rewarding. Whereas the previous year was 1. Placing Green Building and sustainability characterised by intensive internal organisational issues squarely within the curricula of growth and development which resulted in the architectural programmes through involvement eventual appointment of a Chief Operations of the schools (ALS) in the development and Officer, the year under review has allowed a much peer review of the Green Building Handbook; greater focus on the external environment. This enabled me as Registrar to apply my mind and 2. Direct SACAP validation of a web-based CPD efforts to the critical strategic issues facing the category one activity ensuring universal access organisation. Much has been accomplished in for all registered professionals; terms of positioning the SACAP on the political 3. Mainstreaming the Green Building/ engagement through the establishment of the map in alignment with national development sustainability agenda as a strategic concern in annual Bosberaad and voluntary associations imperatives. The architectural profession too has the built environment; forum. The signing of the MOUs effectively been strongly profiled in the built environment 4. Registration Help Desk for delegates to get sealed this inclusive, collaborative and consultative and the public eye, preparing the ground for advice and access to their status on the style of engaging with key stakeholders. effective public protection in relation to the database; A number of key social responsibility initiatives profession going forward. 5. Profiling SACAP’s developmental regulatory were realised through the Education Fund, with model in Africa and the southern hemisphere. SACAP showing a strong presence in the built environment both locally and internationally. The most notable highlight of the period under These have positioned SACAP as an important Dorothy Brislin review was the finalisation and signing of the support to education and development within the Registrar Memoranda of Understanding (MOUs) between profession in line with national imperatives and each of the 11 recognised voluntary associations with the emphasis on transformation. They have and SACAP. The second term Council had also contributed substantially to the project of championed stakeholder participation and building public awareness, improving the supply 13 SACAP Annual Report 2009 - 2010 Section One Governance
SACAP Council (Third term Council: 1 November 2009 – 30 September 2013)
n accordance with Section 5 of the Architectural Profession Act No 44 of 2000, Professional State nominated the term of office of the second SACAP members members ICouncil came to end on 30 September 2009. President: Mr Phillemon Mr Philip Crafford (Architect - The third SACAP Council was appointed by the Honourable Minister of Public Works, Mr Geoff Mashabane (Architect) DPW) Doidge, on 1 October 2009. The appointment was Vice-President: Ms Heléne Nienaber (Architect - preceded by a nomination procedure in Ms Paraskevy Eli (Lula) Scott DPW) accordance with Section 4 of the Act. (Senior Architectural SACAP hosted a gala dinner on 30 October 2009 Technologist) at Velmore Hotel, Pretoria to inaugurate the new Public nominated Council. The new Council promptly held Mr Fanuel Motsepe members elections on 1 November 2009 and Mr Phillemon (Architect) Mashabane was elected as the new President and Ms Maureen Gerrans (Senior Ms Anthea Houston Ms Paraskevy Eli (Lula) Scott was elected as the Architectural Technologist Prof Gerald Steyn (Architect) Vice-President. representing The following is a list of SACAP Councillors Draughtspersons) who will serve for the third term of office (2009 – 2013). Mr Dhanashwar Basdew (Senior Architectural Technologist) Mr Rowan Ruiters (Architectural Technologist) Mr Vusi Z. Mthimunye (Draughtsperson)
14 SACAP Annual Report 2009 - 2010 Section One Governance
Phill Mashabane Lula Scott
Councillors’ profiles:
Phill Mashabane - President of greatest lesson he has learnt in this industry is to respective role players within the architectural SACAP be humble and flexible when faced with profession and the built environment. challenges. Mr Phill Mashabane holds degrees in B Arch She wishes to offer the experience she has gained from the Nationalé Ecolé de Bauxarts (B.xa – He is a strategist who strives for excellence. He over the years, both professionally and in practice Paris) and has a LLB from the Institute of Law believes that the greatest challenge facing the in providing leadership in achieving this vision. architectural industry is that it is driven by (I.D.L – Paris), France. In addition, he has Due to the history of her involvement in the commercial needs. In his view, this results in the numerous postgraduate diplomas including profession, she serves as a role model to many architects’ input and creativity often being project management and arbitration. professionals who do not have degrees and she compromised by negotiating their fees on projects, He has a wealth of over 30 years experience both would like to use this as an opportunity to offer which subsequently affects the scope and integrity locally and internationally in the industry and has direction and encouragement to these of architecture. travelled extensively. professionals to raise the bar within their skills His greatest wish is for the industry to create its base and to advance their education and growth. He is the principle member and primus inter own legacy by remaining respectable and pares of the reputable architectural practice, She would like to see the profession of embracing the aspirations of all South Africans. Mashabane Rose and Associates which has won architecture being a preferred career choice and Lula Scott - Vice President of many accolades and architectural competitions for that the profession as a whole achieves greater SACAP projects such as The Apartheid Museum, excellence, not only in design, but in competence, skill, service offered, and in the individual’s Lillieslief Farm Legacy Project Museum, Robben Lula Scott is a graduate of the Technikon of the professional development, to create a globally Island Museum, Mandela House restoration and Witwatersrand. She has varied experience in competitive, modern professional capacity that Hector Pieterson Museum. Mashabane Rose and terms of projects which span domestic, industrial, supports South Africa’s economic and social Associates are well-known for their Heritage area commercial, hotels, medical and retirement objectives. of speciality and Phill is also a conservation facilities as well as interior design when she Architect and has served as the Chairperson of worked in various practices nationally. Her view is that architecture is not a passive the South African Heritage Resources Agency profession - what one puts in is what one gets out. As a professional member of the Council, (SAHRA) for many years. One’s personal growth within architecture representing architectural technologists, her vision depends and feeds on one’s involvement, active Phil comes from humble beginnings and his for the profession vision is one of unity and participation and being passionate about what one lifelong desire and passion was to study Law and common identity, aspect which is not always does. According to her, architecture is multi- Architecture in his aspiration to make South evident, where there is not always an faceted with every project unique in its Africa a better place to live in. He believes the understanding within the profession of the 15 SACAP Annual Report 2009 - 2010 Section One Governance
Fanuel Motsepe Maureen Gerrans Dhanashwar Basdew
inspiration, demands, and challenges. The process • A more unified profession and one that ensuring that SACAP meets its core mandate one applies is not only conceptual but tactile, with works in synergy with the other professionals which is to serve the public by way of regulating emotional fulfilment when one experiences the within the built environment. the architectural profession to maintain the final result. • The development of an original and unique highest standards . In his mind, transforming the profession is a principle to which he is deeply Her aspiration is to use her time on the Council South African identity including committed and where he intends to direct his to address key challenges the profession faces. international trends and combining with focus. In his mind, achieving racial and gender One of these is the lack of understanding of the traditional, social, climatic, demographic and representation that mirrors the country’s role of SACAP and its voluntary associations other criteria unique to South Africa to demographics, but more importantly transforming (VAs) and the need to educate both professionals create a truly South African architecture the doctrines and practices of the built and the public in regards the role of SACAP and with South Africa. environment professions to be more African, are the VAs. Fanuel Motsepe vitally important. As a consequence of Within five years, Lula would like to see: Fanuel Motsepe serves on the Gauteng Institute accomplishing this, opportunities will be afforded • The profession stabilise and accept the Act for Architecture (GIfA) and is the current vice to locals such that their skills and talents will be under which the profession is regulated. President of the South African Institute of sought after. • The regulatory frameworks implemented, Architects (SAIA). He also serves on the Maureen Gerrans understood and embraced not only by the executive committee of the Black Business professionals to whom they are applied, but Council in Built Environment (BBCBE) and is a Maureen Gerrans is Senior Architectural more so by the public, the clients who committee member of the Confederation of Black Technologist representing draughtspersons on the appoint the professionals and the local Business Organizations (CBBO). Council. She is widely experienced and has been authorities who will need to consider these The built environment has been an interest of his involved with the following organisations: in accepting and adjudicating submissions. since childhood though he did consider being a • SA Institute of Draughting • All within our profession understanding, choreographer during the pre -’94 years as at that • SA Institute of Architectural Technologists respecting and recognising the competencies time being a built environment practitioner • SA Institute of Building Designers and skills of the various architectural seemed undesirable for people who today referred professionals, recognising that each are to as Historically Disadvantaged Individuals • Chamber of Engineering Technology equally important, with each having different (HDI). • Engineering Council of SA. specialisations, expertise and roles within the profession, the project and the built A graduate of WITS (BAS), UCT (B.Arch) and A graduate of the Western Province Technical environment. KUL (M Arch; Belgium), Fanuel is committed to College, Maureen is looking to bridge the divide 16 SACAP Annual Report 2009 - 2010 Section One Governance
Rowen Ruiters Vusi Mthimunye Gerald Steyn
between the various grades of persons in the Rowen Ruiters practitioners to be actively involved in voluntary architectural profession so that they can respect associations and to register with SACAP. Social spaces and dignified well designed and acknowledge one another’s skills and buildings, in the view of Rowen Ruiters, enable He is concerned that the power of professional expertise. She comes equipped with extensive better public behaviour. A graduate of the former architecture is underestimated and underutilised knowledge, both theoretical and practical, in Peninsula Technikon, Ruiters is concerned that by many in society. He also is alarmed by the various disciplines of draughting. This wealth of engineers or multi-disciplinary teams are winning deteriorating quality of building designs and knowledge and experience will be utilised for the tenders, not based on the quality of design, but on workmanship. In order to shift the status quo, he recognition of draughtspersons in the industry as price discounts offered. He is also concerned believes that the profession needs to educate well as to bridge the aforementioned divide. about instances of corruption between local people about the importance of using professional Dhanashwar Basdew government, the Department of Public Works architectural expertise. and professionals, something he is keen to Gerald Steyn Dhanashwar Basdew has always been enchanted eradicate as part of his tenure on the Council in by architecture. He was exposed to architectural addition to seeing that members in all categories Gerald Steyn is a research professor at Tshwane drawings very early in his childhood as a result of get value for their money, and to raise the University of Technology and has been since his building contractor father. He is the National standard of the profession every year throughout 1999. Executive President of the South African Institute all its categories. of Building Design and regards being sensitive to In his view, South Africa is essentially an the needs of the community as a key ingredient to Ruiters follows the advice he gives any young underdeveloped country with many opportunities the success of the profession. professional: stay focused, be a global professional for the architectural profession. He hopes that in and always raise one’s own standard to keep one’s five years the South African government and the His time on the Council will be spent addressing, standard. private sector will have the courage and will to in his opinion, the lack of cohesion and invest and develop vigorously – like both did transformation amongst the professional Vusi Mthimunye during the World Cup – but with a broad focus categories, educational institutions and civil Vusi Mthimunye is a professional draughtsperson on communities as a whole. society. This continues to be a barrier to the and works for the Emalahleni Local Council as a cohesion of the profession despite 15 years of His time on the Council will be focussed on chief building technologist. Vusi is especially democracy. educational matters - he is the chair of Heads of passionate about the state of affairs in his home Schools and Validation Committees. He wants to Dhanashwar is of the view that architecture will province, Mpumalanga, and serves as the streamline the validation procedures and to be one of the tools that has to be used for social chairman of the local chapter of the SAIBD. He contribute to the implementation of the new realignment. wants to mobilise all Mpumalanga architectural 17 SACAP Annual Report 2009 - 2010 Section One Governance
Anthea Houston Heléne Nienaber Phillip Crafford
HEQF. In so doing, he is responding to criticism on advisory and reference groups for three former Phillip Crafford that the architectural profession is becoming Ministers of Local Government and Housing in Like Heléne, Phillip is also a professional deskilled. He wants to determine whether this is the Western Cape. She holds a Banking architect and is a state nominated member of the true or not, and act accordingly. Licentiate Diploma and a Postgraduate Diploma Council. He has some 41 years of experience and in Management: Organisation and Management When asked what any young person entering the is a graduate of the University of Pretoria. Prior to from the University of Cape Town where she profession should do, he says: “Learn to draw well. working for government, he spent 30 years in the graduated with distinction at the top of her class. Read, travel and debate architecture continuously. private sector. It is not a job – it is a life-style. But adopt Anthea is a Fellow of the African Leadership balanced habits, with enough time for sport, Initiative and the member of the Aspen Global culture and socialising”. Leadership Network, both programmes of the Aspen Institute (U.S.A.). She has contributed to Anthea Houston (Public the development of various housing policy Representative) documents and is a regular commentator in the Anthea Houston is an advocate for housing rights media. She is passionate about social justice, and sustainable urban development and presently community participation and the civil society works as a freelance consultant. She recently sector where she has chosen to work to strengthen concluded a nine year stint as Chief Executive value-based leadership in South Africa. Officer for the Development Action Group Heléne Nienaber (DAG), a leading South African non-profit organisation addressing low-income housing and Heléne Nienaber is a professional architect and is urban development. The organisation successfully a state nominated member of Council (National developed more than 5500 houses through Department of Public Works). self-help housing programmes and its work has She has 16 years experience in the industry as is a been recognised as best-practice by the United graduate of the University of Port Elizabeth and Nations Human Settlements Programme and the Technikon SA. national Department of Housing.
Anthea also serves as Director of the National Housing Finance Corporation (NHFC), a State Development Finance Institution. She has served 18 SACAP Annual Report 2009 - 2010 Section One Governance
Committee Structure
Committees • Continuous Professional Development (CPD)
The business of the Council is stipulated in the • Education Fund Architectural Profession Act No 44 of 2000. The • Heads of Schools Act forms the basis for the institutional • Identification of Work arrangements, authority, policies, financial • Investigating management and leadership processes. This • Professional Fees section describes the Council’s decision-making processes and structure. It reports on the • Registrations and RPL composition, meeting attendance and • Research remuneration for the Council and the different • Validation committee members. All policy proposals from the above committees Different committee structures are constituted to are ratified by Council. give effect to the business of the Council. Terms of reference for each of the above According to Section 17(1) (a) of the committees were developed and ratified by Architectural Profession Act No 44 of 2000, the Council. Council may establish any committee, to assist in the performance of its functions and may appoint any person as a member of that committee. The business is managed by the operational structure overseen by Council and EXCO. The following committees are actively involved in the business of the Council:
• Executive Committee (EXCO) chaired by the President of the Council • Audit and Risk chaired by an independent external person • Code of Conduct • Communications 19 SACAP Annual Report 2009 - 2010 Section One Governance
Council Composition
The following table depicts the second term The following table indicates the third term Council members whose term ended in October Council that took office on 1 November 2009. 2009.
Second term Council Members Third term Council Members
Appointed Race Gender Appointed Race Gender Member Member Mr M Campbell Coloured Male Mr P Mashabane Black Male (President) (President) Mr K Moleko Black Male Mrs L Scott White Female (Vice-President) (Vice-President) Mr S Njobe Black Male Mrs A Houston Coloured Female (Treasurer) (Treasurer) Prof G Steyn White Male Prof G Steyn White Male Mr J Barnard White Male Mr P Crafford White Male Mrs L Scott White Female Mr F Motsepe Black Male Mr P Crafford White Male Mr P Crafford White Male Mr T Mthethwa Black Male Ms M Gerrans White Female Ms P Emmett White Female Mr D Basdew Indian Male Ms R Naiker Indian Female Mr V Mthimunye Black Male Mr G Letlole (Co- Black Male Mr R Ruiters Coloured Male opted) Ms M Gerrans White Female (Co-opted) Mr D Basdew Indian Male (Co-opted)
The co-opted Council members did not have voting rights; they were co-opted merely for succession planning purposes.
20 SACAP Annual Report 2009 - 2010 Section One Governance
Meeting Attendance
Council meetings Attendance of third term Council (These meetings Executive Committee (EXCO) – 2nd Term are from 1 November 2009 up to end of March Council Attendance of second term Council 2010) Attendance of EXCO meetings – second term Name Total Meetings Name Total Meetings Council number of attended number attended Name Total Meetings meetings by a of by a Member number of attended meetings Member meetings by a Mr M Campbell 8 8 Mr P Mashabane 7 7 Member (President) (President) Mr M 4 4 Mr K Moleko 8 4 Mrs L Scott 7 7 Campbell (Vice-President) (Vice-President) (Chair) Mr S Njobe 8 4 Mrs A Houston 7 5 Mr S Njobe 4 4 (Treasurer) (Treasurer) Mr K Moleko 4 2 Prof G Steyn 8 6 Prof G Steyn 7 7 Ms L Scott 4 4 Mr J Barnard 8 4 Mr P Crafford 7 7 Mrs L Scott 8 7 Mr F Motsepe 7 6 Attendance of EXCO meetings – third term Mr P Crafford 8 7 Ms H Nienaber 7 7 Council Mr T Mthethwa 8 6 Ms M Gerrans 7 7 Name Total Meetings Ms P Emmett 8 7 Mr D Basdew 7 7 number of attended meetings by a Ms R Naiker 8 7 Mr V Mthimunye 7 7 Member Mr G Letlole 8 4 Mr R Ruiters 7 7 (Co-opted) Mr P 2 2 Mashabane Ms M Gerrans 8 5 (Chair) (Co-opted) Mr F Motsepe 2 2 Mr D Basdew 8 5 (Co-opted) Ms Lula Scott 2 2 Ms A Houston 2 0 Ms H Nienaber 2 1
21 SACAP Annual Report 2009 - 2010 Section One Governance
Per Category Audit and Risk Committee Communications Committee Education Fund Committee
Candidates Registrations for 2009/10 Attendance of Audit and Risk Committee Attendance of Communications Committee Attendance of Education Fund Committee Candidate Architectural Draughtsperson 203 Name Total Meetings Name Total Meetings Name Total Meetings Candidate Architectural Technologist 139 number of attended number of attended number of attended Candidate Senior Architectural Technologist 78 meetings by a meetings by a meetings by a Member Member Member Candidate Architect 189 Mr C 6 6 Mrs L Scott 3 3 Mr T Mthethwa 3 3 Sub total 609 Senoamadi (Chair) (Chair) Professionals Registrations for 2009/10 (Chair) Mr M Heunis 3 2 Mr K Moleko 3 3 Professional Architectural Draughtsperson 93 Mr K Moleko 6 1 Mr G Letlole 3 0 Mr M Syce 3 3 Professional Architectural Technologist 34 Mr S Njobe 6 4 Ms N King 3 0 Professional Senior Architectural Technologist 34 Mrs RA Kenosi 6 4 Heads of Schools (HoS) Committee (From Professional Architect 190 The above committee was dissolved by a Council Attendance of Heads of Schools Committee 25/06/2009) Sub total 351 resolution. Mr V Mabuli 6 4 Name Total Meetings (From Continuing Professional number of attended 25/06/2009) Development (CPD) Committee meetings by a Member Attendance of Continuing Professional Development Committee Prof G Steyn 4 4 Code of Conduct (Chair) Name Total Meetings Prof K Bakker 4 4 Attendance of Code of Conduct Committee number of attended Prof L Poulsen 4 4 meetings by a Name Total Meetings Member Prof L Grange 4 1 number of attended Prof A Steenkamp 4 1 meetings by a Mr S Njobe 3 3 (From Member (Chair) 25/02/2010) Ms P Emmett 2 2 Mr N Adler 3 2 Prof A Adebayo 4 4 (Chair) Mr B Wallis 3 3 Prof C Vosloo 4 4 Mrs L Scott 2 1 Ms P Emmett 3 3 Prof G McLachlan 4 4 Mr G Bothma 2 1 Mr F Dekker 3 3 Mr Y Luckan 4 4 Mrs S Linning 2 1 Ms M Gerrans 3 3 Prof Smit 4 3 Mr M Hajee 2 0 Mr D Basdew 3 3 Mr E Pieters 4 3 Ms M Gerrans 2 1 Ms N Darke 4 2 Mr D Basdew 2 2 Mr J de Villiers 4 2 Mr E Barnard 2 1
22 SACAP Annual Report 2009 - 2010 Section One Governance
Identification of Work (IDoW) Professional Fees Committee Research Committee Committee Attendance of Professional Fees Attendance of Research Committee Attendance of IDoW Committee Name Total Meetings Name Total Meetings Name Total Meetings number of attended number of attended number of attended meetings by a meetings by a meetings by a Member Member Member Mr P Crafford 1 1 Prof G Steyn 1 1 Mr M 4 4 (Chair) (Chair) Campbell Mr I Alexandra 1 1 Prof P Kotze 1 0 (Chair) Mr S Segal 1 1 Prof P Bowen 1 0 Mr P Bakker 4 4 Mr J Barnard 1 0 Mrs L Scott 1 1 Ms P Emmett 4 3 Mr A Louw 1 1 Mrs S Linning 1 1 Mrs L Scott 4 3 Mr M Borgstrom 1 0 Mr G Letlole 1 0 Mr L du Toit 4 4 Ms M Gerrans 1 1 Dr A Osman 1 0 Ms M Gerrans 4 2 Mr D Basdew 1 1 Ms G 4 3 Adendorff Registrations and RPL Committee Validation Committee Investigating Committee Attendance of Validation Committee Attendance of Investigating Committee Attendance of Registrations and RPL Committee Name Total Meetings Name Total Meetings Name Total Meetings number of attended number of attended number of attended meetings by a meetings by a meetings by a Member Member Member Prof G Steyn 2 2 Mrs P Emmett 3 3 Prof G Steyn 2 2 (Chair) (Chair) (Chair) Mr J Crafford 2 1 Mr P Mashabane 3 3 Prof K Bakker 2 1 Mr J de Villiers 2 2 Mr P Brown 3 1 Mr M van 2 2 Schoor Mr D Yuill 2 2 Mr A Louw 3 2 Mr G Letlole 2 1 Mr F Motsepe 2 2 Mr D Joubert 3 2 Ms M Gerrans 2 2 Ms M Gerrans 3 2 Mr D Basdew 3 2 Mr S Segal 3 1
23 SACAP Annual Report 2009 - 2010 Section One Governance
Strategic Vision
2008/2010 SECOND TERM STRATEGIC PRIORITIES 1. Voluntary associations • Capacity building • Continued relationship building • Transformation 2. Liaison with stakeholders • Council for the Built Environment (CBE) • Department of Public Works (DPW) • Local authorities (LAs) • Built Environment Professional Councils (BEPCs) • Construction Industry Development Board (CIDB) • Construction Education and Training Authority (CETA) • South African Qualifications Authority (SAQA) • Accredited Learning Sites (ALS) • Council for Higher Education (CHE) 3. Succession planning • Continuing of Ethos • Level of commitment expected • Operational follow-up 4. Regulatory environment 1. Changes to facilitate legal compliance 2. Alignment with government priorities 5. Green architecture
24 SACAP Annual Report 2009 - 2010 Section One Governance
Stakeholders
ACCREDITED LEARNING SITES RECOGNISED VOLUNTARY international best practice and serving the ASSOCIATIONS (VAS) SACAP accredited learning sites (ALS) special needs of developing economies”. include the following institutions: In terms of Section 25 of the Architectural 4. Partnering to achieve a competent and Profession Act No 44 of 2000, SACAP renewed informed profession. Cape Peninsula University of Technology the recognition agreement with a number of (CPUT) 5. Operationally ensuring excellence in voluntary associations at a celebratory function www.cput.ac.za performance and service delivery. held at the Birchwood Hotel in Benoni on Durban University of Technology (DUT) 11 March 2010. 6. Fostering collaborative relationships and www.dut.ac.za mutual co-operation. A Memorandum of Understanding (MOU) was Nelson Mandela Metropolitan University signed between SACAP and the voluntary 7. Maintaining a sustainable skills base of high (NMMU) associations. quality for the profession. www.nmmu.ac.za 8. Promoting transformation and unity in Tshwane University of Technology (TUT) The MOU outlines the roles, responsibilities and diversity within the built environment. www.tut.ac.za obligations of the parties as follows: University of Cape Town (UCT) 1. Administering the requirements of the Act, 9. Growing the information and knowledge www.uct.ac.za following both the letter and spirit thereof. hub and embracing indigenous knowledge systems. University of the Free State (UFS) 2. Promoting the development of the www.uovs.ac.za architectural profession in line with the 10. Establishing lines of communication University of Johannesburg (UJ) spirit of the South African Constitution. between the respective parties to facilitate www.uj.ac.za co-operation in respect of administrative 3. Clarifying and defining the roles of the and strategic issues, including the University of Pretoria (UP) respective parties in the realisation of the maintenance of reliable, integrated www.up.ac.za following vision: ‘Highly competent registration and membership information University of KwaZulu Natal (UKZN) architectural professionals compliant with in the interest of promoting the www.ukzn.ac.za architectural profession. University of the Witwatersrand (Wits) 11. Promoting co-operation, transparency, www.wits.ac.za accountability, best business practices and Inscape Design College sound corporate governance. www.inscape.ac.za 25 SACAP Annual Report 2009 - 2010 Section One Governance
Implementation of objectives Duties and obligations of SACAP
The following are guidelines to implement the 1. To administer the task of registering objectives: professionals in terms of the requirements of the Act, including maintaining records in 1. Regular combined meetings. respect of all categories of registration; 2. Workshops to be attended by appropriate 2. To determine and collect registration fees, designated representatives of SACAP and including acknowledgement and recording VAs. thereof; 3. Regular reports to be submitted. 3. To maintain regulatory authority in terms of 4. Ongoing communication between the the Code of Professional Conduct (CPC); parties is to be maintained, to achieve 4. To liaise with the VAs to align the CPC of transparency, respect, accountability, SACAP with those of the VAs and vice courtesy, professionalism and integrity versa;
5. Registered professionals should have 5. To act, when necessary, as an appeal body sufficient support and access to CPD where a registered person has been censured category one (1) activities to comply with by a VA; registration renewal requirements of the 6. To publicise generally, including to Act. government departments and local authorities, both the existence of the Act as well as the basic legal requirements thereof; 7. To interact with VAs and provide support in terms of marketing CPD activities to the profession; 8. To build capacity of VAs to ensure robust participation in policy processes and SACAP structures; and 9. To incentivise VAs membership drives.
26 SACAP Annual Report 2009 - 2010 Section One Governance
Duties and obligations of VAs • ensuring that the VA is a recognised VA of • South African Institute of Architectural SACAP and maintaining its compliance Technologists (SAIAT) 1. To promote professional excellence of with recognition criteria, www.saiat.org.za architectural practitioners amongst their membership; • supplying records of fully paid up • South African Institute of Building Design members to SACAP, (SAIBD) 2. To assist their members and registered www.saibd.co.za professionals in obtaining the required CPD • confirming paid up members of VAs to • South African Institute of Draughting category one (1) credits by providing, SACAP timeously, (SAID) promoting, organising and validating these 8. To ensure that their members understand www.SAIDraughting.com CPD activities and maintaining records SACAP’s role as a statutory regulatory • South African Institute of Interior Design thereof (as per Schedule “4”); body, distinct from the role of the VAs; Professions (IID) 3. To liaise with SACAP on all CPD issues 9. To nominate members to serve on SACAP www.iidprofessions.com including regular submission of reports and committees where called for by Council and • Border Kei Institute of Architects (BKIA) records (as per Schedule “4”); once elected, such nominated members [email protected] shall: 4. To ensure that all members are registered • Cape Institute for Architecture (CIA) with SACAP (as per Schedule “4”); • serve on SACAP committee/s in their www.cifa.org.za 5. To maintain a sound Constitution, personal capacity, • Eastern Cape Institute of Architects (ECIA) including a Code of Professional Conduct • adhere to the Code of Conduct for www.ecia.co.za (CPC) and to liaise with SACAP to ensure Council and committee members, and • Free State Institute of Architects (FSIA) alignment with the SACAP’s CPC; www.fsia.co.za • be paid an honorarium on submission of 6. To inform SACAP regularly (at least verifiable claims for attending committee • Gauteng Institute for Architecture (GIfA) annually) of structures of the VA with meetings. www.gifa.org.za respect to membership, office bearers and • KwaZulu-Natal Institute for Architecture The following voluntary associations are contact details; (KZNIA) recognised by SACAP: 7. To assist SACAP in the implementation of www.kznia.org.za • South African Institute of Architects rebates for members of the VAs by: • Pretoria Institute for Architecture (PIA) (SAIA) www.pia.org.za www.saia.org.za 27 SACAP Annual Report 2009 - 2010 Section One Governance
International Engagement
Royal Institute of British Architects Regulation Board (ARB) prescribes the examinations. (RIBA) qualification. Validation is considered to be a mark The RIBA examination in architecture for of excellence; prescription confirms that the ACAP’s Professional Development employed candidates was awarded to Oxford school meets the minimum requirements Manager, Cecilia Chinga, attended the Brookes University. The programme was necessary for an architect’s education. SACAP’s RIBA Validation Forum held at the established in 1988 and initially run by RIBA validation policies and processes are based on the London Zoo on 17 September 2009. until 2002. It is unique in that it allows working S RIBA system. candidates to attain professional qualifications in The objective of the Forum was to workshop the The validation criteria will be phased in with full architecture (RIBA Parts 1 and 2). It challenges new draft validation criteria with relevant national implementation expected in 2012. conventional approaches to obtaining professional and international stakeholders and partners. qualifications by encouraging experiential Participants comprised mainly Heads of Schools Commonwealth Association of education. of Architecture in the United Kingdom, RIBA’s Architects (CAA) education and validation committee members, A recommendation was made that South Africa RIBA validation panel committee members and SACAP has a MOU with the CAA which should engage with the process further and the President of the International Union of provides for international recognition of SACAP consider adopting a similar model. accredited architectural programmes. Architects (UIA), Louise Cox. International Union of Architects The participants were generally in favour of the Cecilia Chinga met with the CAA Secretariat’s (UIA) Professional Practice new criteria, which were found to be less Executive Director, Tony Godwin, on Commission (PPC) prescriptive and similar to those of the European 18 September 2009 to discuss the South African Union and the UIA. The new criteria allow validation visits which took place during 2009. Councillor Phillip Crafford attended the Professional Practice Commission (PPC) on schools to be more flexible in setting their own The visit was important in maintaining behalf of SACAP held in New Delhi, India over agendas while addressing country level international affiliations established through the 24 – 25 September 2009. requirements within a global context. membership of the South African Institute of The main difference between the United Kingdom Architects (SAIA). The event was hosted by the UIA President Louis Cox and in attendance were co-directors of the and the South African system is that in South Oxford Brookes University Africa, SACAP validates and accredits schools of PPC Douglas L. Steidl, Weimin Zhaung, RIBA architecture, whereas the UK system is two- During her visit to the United Kingdom, Ms representative Ian Pritchard, PPC fees working pronged. The RIBA, which is a voluntary institute, Chinga also met with Mr John Stephenson, Head group members Sven Silcher and Tillman Prinz, validates the school and the Architectural of Design and Director of RIBA office-based as well as Eugene Barnard from South Africa. 28 SACAP Annual Report 2009 - 2010 Section One Governance
The following key issues were discussed:
1. Report back on general proceedings and issues.
2. Hourly fees versus percentage fees and the manner in which hourly fees are determined.
3. Ethics in relation to the SACAP Code of Conduct – Rule 6 International Work.
4. The role of the regulatory body within the present professional climate. Mauritius Eco-Building Conference, Alive2Green
SACAP’s Registrar, Dorothy Brislin, attended the first Mauritian Eco-Building Conference and Exhibition held at the Swami Vivekananda International Convention Centre at Pailles, Mauritius between 18 – 21 March 2010.
The event was co-hosted by the Mauritius Association of Architects and was attended by 450 people from various professional disciplines.
Presentations were made to motivate change within the sector and educate professionals about the practices, trends, policies and technologies available in eco-building interventions. Plenary sessions focused on the global context and best practice with case studies that examined issues in eco-building relating to specific conditions faced by the Mauritian built environment sector. 29 SACAP Annual Report 2009 - 2010 Section One Governance
Social Responsibility
he Council took a strategic decision at SACAP was the gold sponsor of the African Architects, Cape Town. their meeting in March 2008 to invest in Perspectives Conference which was held under The Annual National Student the profession in order to raise it’s profile the auspices of the Archi-Afrika Foundation and Congress (ASC) hosted by the among South Africans, build institutional hosted jointly by the University of Pretoria – T University of Pretoria, capacity within the VAs, attract talent to the Department of Architecture and the Pretoria 24 – 28 September 2009. profession, and to ensure broad-based Institute for Architecture. participation of the profession in national events. The conference was the fourth in a series of The Annual Student Congress (ASC) formed part Mindful of these important objectives, SACAP dialogues held under the African Perspectives of the African Perspectives Conference provided sponsorship and/or funding for the banner initiated by the Dutch group ArchiAfrika. The Annual Student Congress was initiated by following institutions, events, publications and ArchiAfrika disseminates knowledge of and the SACAP Heads of Schools (HOS) activities in 2009. promotes intra-continental debate on African Committee. SACAP’s support and involvement of 1. African Perspective Conference including architecture and urbanism. The intention of the the ASC initiative contributes to it achieving its the Annual Student Congress (ASC) organisers was that practitioners and students strategic objective of reaching the ‘Architectural incorporating the Architect Africa Film attending the conference from the disciplines of Student’ community in promoting education, and Festival (AAFF), 24 – 27 September 2009. architecture, urban design, planning and landscape affording the students the opportunity of being architecture would be exposed to the views and 2. University of Cape Town – Schools part of the presentations made by international practices of architects and urbanists who work in Outreach Programme 2009. and local speakers. African cities and encourage debate and dialogue The ASC provides SACAP with a platform to 3. Jo Noero publication entitled “The within the series which included film makers, promote and build brand awareness regarding the Everyday and the Extraordinary” – Three artists, builders, anthropologists, writers and ‘‘Candidacy Registration” process which seeks to Decades of Architecture. theorists. The intended outcome of the debate was assist students with the requirements for their 4. Wessel de Jonge lectures, Universities of that there would be a significant contribution to life-cycle in terms of their chosen career path and Pretoria and Cape Town. the growing knowledge base on African SACAP statutory registration processes as architecture and cities. African Perspective Conference candidates. It is also serves as an opportunity for (APC) The international and local speakers included: SACAP to build relationships with students who Prof Abdoumaliq Simone, urbanist based in will register with SACAP after graduation. The African City Centre (re) sourced focusing on London, Joe Addo, principal and founder of The SACAP information desk was staffed by the unique and diverse character of the African Constructs LLC with offices in Ghana and USA, members of the Professional Development and City, 24 – 27 September 2009. Heinrich Wolff, partner in Noero Wolff 30 SACAP Annual Report 2009 - 2010 Section One Governance
Marketing and Communications Units who Architect Africa Film (AAFF), University of Cape Town – Schools where available for the duration of the congress to Architects’ Collective which Outreach Programme, 29 June – assist students with any information that they included the Tripod Architecture 1 July 2009 required about the life-cycle as a candidate. In Students Photography Competition SACAP jointly sponsored the Schools Outreach addition, pamphlets and corporate merchandise and mini-festival (Sunday, Workshop with the Cape Institute for were handed out to the students with valuable 27 September 2009) Architecture and UCT Faculty of Engineering information about the registration processes. Aim: and the Built Environment. The workshop is SACAP hosted a cocktail function on Sunday, hosted by UCT School of Architecture, Planning 1. Support the film festival’s educational 27 September 2009 to celebrate and acknowledge and Geomatics over three days. initiatives by taking the AAFF to the the 80 grantees that received the 2009 SACAP students, as requested at the Heads of The purpose of hosting the workshop is to recruit Educational Grant towards their studies. Schools (HOS) meeting held in August high school learners from previously Approximately 40 of the grantees attended and 2008. disadvantaged communities, who would otherwise SACAP paid for 61 grantees’ accommodation and not necessarily have been exposed to the world of transportation costs to attend the congress. 2. Support the infrastructure setup which architecture and associated career possibilities. would ensure ongoing continuity of this The Pretoria Institute for Architecture important initiative, which forms part of The UCT School of Architecture, Planning and (PIA) hosted category one CPD SACAP’s strategic priority towards raising Geomatics primarily targets historically activities. public awareness of architecture and the disadvantaged schools in the Western Cape with a SACAP hosted a ‘CPD Information Session’ on architectural profession. long-term objective to establish more formal links within certain schools so that these become Saturday, 26 September 2009 bringing 3. Promote, brand and market SACAP’s ‘feeder schools’ to university. professionals up to speed with the latest involvement in the Tripod Architecture developments on the CPD front. In addition, Students Photography Competition. The outreach workshop had two purposes: SACAP had a ‘CPD Hotline’ information desk The following films were screened at the AAFF: 1. To expose learners to a more informed situated at the SACAP exhibition stand at the understanding of the world of architecture; and National Student Congress. • Moving Images Student Films 2. To give guidance and assistance concerning This important initiative formed part of SACAP’s • Barcelona Blueprint portfolio requirements. strategic priority in terms of raising ‘CPD • A Convenient Truth (Curitiba) awareness’ in the architectural profession and • The Next Industrial Revolution or End of Learners are required to write a one-page essay supporting SACAP recognised VAs. Suburbia about why they want to participate in the 31 SACAP Annual Report 2009 - 2010 Section One Governance
workshop together with an application form and recent mark schedules. Jo Noero publication entitled “The Everyday and the Extraordinary” – Three Decades of Architecture
SACAP sponsored 100 copies of the above publication which spans the three decades of work by acclaimed architect Professor Jo Noero. Wessel de Jonge lecture series, Universities of Pretoria and Cape Town, Jan – March 2010
SACAP provided financial support for the visit of Wessel de Jonge, the Dutch architect who has been responsible for adapting some of the most iconic buildings of the Modern Movement to new uses. He is a founding member of Docomomo, an organisation that seeks to document modern architecture and exchange ideas on the history and conservation thereof.
The lecture tour was a great success. Students and practitioners alike were very impressed with his knowledge and passion for the modern movement and it was felt by those who attended his lectures that he made a huge contribution to the debate locally and that his visit will have a long-term impact on South Africa.
32 SACAP Annual Report 2009 - 2010 Section One Governance
Section Two Operations
33 SACAP Annual Report 2009 - 2010 Section Two Operations
Chief Operations Officer Report
STRATEGY AND STRUCTURE monitoring, assist the Registrar in the implemen- tation of SACAP’s policies and programmes and The strategic priorities determined by the second executing its mandate, as well as human resource Council of SACAP were incorporated into a management and supervision of all human single operational plan and cascaded to the resource functions inclusive of performance business units in the form of unit business plans. management. The requirements of these unit plans were reflected in the performance agreement of each Professional Development Unit staff member. The Professional Development Unit manages the The organisation underwent restructuring to bring core business of the organisation, which involves it in line with the strategic priorities of the the maintenance and management of the register, organisation. In this regard a management tier was as well as providing services to architectural added to accommodate the appointment of a professionals during the life-cycle from candidacy Chief Operations Officer and the Professional to professional status. Development Unit was expanded to accommodate HUMAN RESOURCES more staff thereby ensuring improved service During the period under review, the Professional delivery and customer care. SACAP continued to grow during the period Development Unit grew from a staff complement under review, as illustrated in the two of two permanent and two temporary staff SYSTEMS AND INFRASTRUCTURE organigrams. This growth within the organisation members to seven permanent and one temporary Additional space was acquired in the current office has been in response to the demand from staff member. This has contributed to an improve- building to accommodate the expansion of the stakeholders for more efficient and effective ment in service delivery and customer care in the organisation. service delivery and customer care. organisation. POLICIES AND PROGRAMMES Appointment of a Chief Operations Finance Unit Officer The internal auditors facilitated a risk assessment The Finance Unit provides a support service to workshop with staff and Councillors from the On 3 August 2009, a Chief Operations Officer the organisation. It is responsible for the develop- previous and current Council. This resulted in the was appointed to, amongst others, operationalise ment of an annual budget for approval by the compilation of a risk register, which reflects the strategic priorities of the organisation, oversee Council, as well as the monitoring and manage- identified risks pertaining to the organisation. effective business planning and business unit ment of the organisation’s expenditure. 34 SACAP Annual Report 2009 - 2010 Section Two Operations
During the period under review, the Finance Unit Employment equity profile ORGANISATIONAL CULTURE grew from a staff complement of three permanent 2009/2010 The last two years saw the unfolding of events at and two temporary staff members, to five Designation Race Gender SACAP that led to a complete breakdown of trust permanent staff members. among management and staff. The Council felt Legal and Compliance Unit B C A W F M that there was a need for an intervention that Registrar 1 1 would address the internal conflicts and negative A new Legal and Compliance Officer was Manager 3 1 1 4 1 perceptions of the organisation among staff. A appointed during this period, to, amongst others, Officer 1 1 1 2 2 3 service provider was appointed to facilitate a ensure that SACAP complies with its mandate of process that would allow all staff to start afresh Administrator 7 2 1 7 3 public protection through the Code of Conduct and rebuild the trust that is necessary for any Receptionist 1 1 and provide services and support to partners and organisation to function effectively and efficiently. associate organisations, registered persons and the General 1 1 worker This process was successful in that it contributed general public to lodge complaints and claims to developing a culture of delivery and helped staff Driver 1 1 against architectural professionals and persons to stay focused and continue functioning as a Totals 13 3 3 5 17 7 practising without registration. team.
Staff training and development Various teambuilding interventions, both formal and informal, were undertaken. Staff participated Staff members received the following training: enthusiastically in these interventions and • Pastel Evolution displayed their commitment to the organisation • Business writing and to excellent customer service. • Performance management
35 SACAP Annual Report 2009 - 2010 Section Two Operations Cecilia Annie Eva Omesnhee Nita Nolubabelo Racquel Nontembeko Kagiso Sandra Tilivhali
Sam SACAP Staff organigram – April 2009
Lindiwe SACAP Council
EXCO Yvette Committees Registrar Chief Financial Officer
Professional Marketing and Executive Committee Development Ombudsman Communications Assistant to Secretariat Manager Manager the Registrar Legal and Registrations Compliance Officer Officer Finance Officer
Driver/ M & C Admin Debtors’ Officer Assisant controller Registrations Administrators
General Finance Receptionist Bookkeeper Assistant Administrator
36 SACAP Annual Report 2009 - 2010 Section Two Operations Aso Zakhele Thuli Meshack Dorothy Des Jacquie Mafa Madivan Gerard Mandisa
Gerhard SACAP Staff organigram – April 2010
Sara SACAP Council
EXCO Mosadi
Committees Registrar Chief Financial Chief Operations Officer Officer
Professional Marketing and Executive Committee Development Ombudsman Communications Assistant to Secretariat Manager Manager the Registrar Legal and Registrations Continuing Compliance Professional Officer Officer Finance Development Officer Officer Snr Registrations PA to the Chief M & C Administrator Operations Officer Debtors’ Manager controller Registrations Administrators (3)
General Driver/ Admin Finance Receptionist Bookkeeper Assistant Assisant Administrator
37 SACAP Annual Report 2009 - 2010 Section Two Operations
Marketing and Communications
he Marketing and Communications Unit • Reputation management – media monitor- is responsible for the information, ing and response; education, awareness raising, promotion, • Advertorial in various publications – pro- Tpublic relations and customer care in duction of content relevant to SACAP’s order to address SACAP’s strategic priorities. mandates; In addition, the communication and stakeholder • Communication – newsletters, direct SMS liaison function has been added within SACAP’s and regular emailers of CPD category one mandate of protecting the public in terms of the events, information relevant to SACAP Architectural Profession Act No 44 of 2000. stakeholders;
The Marketing and Communications Unit’s work • Event management – road shows, forums, covers the following operational areas: exhibitions; and • Print and electronic media – production of Information, Communication and all publications. Technology systems (ICT) To internal stakeholders: SACAP website Presenting a professional image to To provide a marketing and communications the public • Web development, maintenance and hosting support service to the various units within • Website queries and statistics To external stakeholders: SACAP; • Management of service providers • Ensuring the correct brand message and • Corporate identity manual production, SACAP website statistical analysis for the image of SACAP is portrayed via: • Ensure correct procurement procedures. communications (e.g. newsletter, fact file; period: 1 April 2009 – 30 March 2010. Challenges faced in the unit event management (e.g. road shows); • Regular visitor to the website - 49 195 website; advertising; media exposure; The Marketing and Communications Unit has • Absolute unique visitors - 46 758 promotional campaigns; largely been involved in the internal operational SACAP internal – IT requirements • Media: to build effective relationships with business processes of the organisation and has • IT maintenance including hardware and the media to ensure that a positive image is faced challenges regarding delivery of public software provision portrayed and to generate free, positive awareness campaigns and external stakeholder • Email hosted exchange server coverage via media database and media relationship building due to limited infrastructure releases and interviews; and capacity. • Management of service providers SACAP Internal – CISCO PABX • Campaigns: development of marketing collateral banners, brochures, etc. in relation • PABX maintenance and upgrades to various campaigns; • Management of service providers 38 SACAP Annual Report 2009 - 2010 Section Two Operations
Section Three Mandates
39 SACAP Annual Report 2009 - 2010 Section Three Mandates
Accreditation
SCHEDULE OF SACAP VALIDATED Legislative changes Metropolitan University (NMMU) to work PROGRAMMES through the new provisions of the HEQF, Government has formulated a new Higher arranged by the South African Qualifications The table below indicates validation revisits that Education Qualifications Framework (HEQF) Authority (SAQA), and included ALS, SAQA were conducted in the year under review: which regulates the range of qualifications that and CHE. The workshop was the first in a series institutions offering higher education in South Institution Qualification Accredited of workshops seeking to deal with the Africa may offer. Pertinent aspects of the new implementation and integration of the new University of BAS Yes HEQF include doing away with the National KwaZulu-Natal HEQF. Institutions offering accredited M Arch Diploma and the B Tech and nomenclature (UKZN) architectural programmes worked through their changes that will affect SACAP’s Registration individual and collective responses to the new Matrix. University of the BAS Yes provisions of the HEQF, and the implications Witwatersrand BAS (Hons) Addressing the impact of the new HEQF and thereof in relation to existing qualifications. (Wits) related issues collectively is a matter of great M Arch SAQA representative Mr Eddie Brown importance to the architectural profession. The emphasised the importance of understanding the new HEQF offers a variety of alternatives, all of Cape Peninsula B Tech Yes NQF Act, given that it governs the environment University of which have their advantages and disadvantages. N Dip Technology in which architectural professionals work. Before any changes are made to existing Architectural In March 2010 a workshop was held with Heads Draughting qualifications and accompanying standards, it is of Schools to look at the implications of the new Inscape Design Certificate of Yes imperative that discussion takes place at a national HEQF in relation to qualifications and mobility College Architectural level so that consensus can be reached on the best in career paths in the existing offerings of ALS. Draughting way forward. The Heads of Schools workshop served as good Given that the implementation of HEQF is in preparation for the SAQA process with its formative stages and that consultation is a professional bodies. Both institutions received unconditional prerequisite, it is of critical importance that The consultation process will continue with a validation. SACAP Accredited Architectural Learning Sites second Heads of Schools workshop planned for (ALS) engage with and shape the process in the August 2010. Amongst the goals SACAP would best interests of the architectural profession. like to achieve are to enable mobility between A national consultative workshop was held on qualifications and to aid transformation. 26 February 2010 at the Nelson Mandela 40 SACAP Annual Report 2009 - 2010 Section Three Mandates
Research
Research – Centre for Urban and • There are 590 foreigners/non-South Africans • 19% in all categories are female, which is Built Environment Studies (CUBES) registered, constituting 4% of the total very high when compared to international database. standards. SACAP appointed the Centre for Urban and Built Environment Studies (CUBES), a research • Aside from very slight variations (2% – 3%) • Percentages of women in all candidate centre at the Wits School of Architecture and over time, most of the provinces have categories is relatively higher than Planning, to profile the architectural sector and maintained their percentage of registrations professional categories, which means that examine the nature of the profession. The over the last forty years. change is in progress. research project was concluded in July 2009. • Of all SACAP registered persons, 15% have The findings of the study show clear Key findings of the study were as follows: also joined one or more of the voluntary transformation in terms of age, race and gender, associations (VAs). all of which have shown significant growth over • Gauteng, Western Cape and KwaZulu-Natal the last five years. South Africa, unlike many account for 79% of all SACAP registrations. In terms of transformation the key findings were other countries, seems able to retain women in the as follows: • Just over 72% of all SACAP registered profession. persons have been registered persons for five • More than half (52%) of all registered years or less. persons are white, whilst 19% have chosen the category “other” to describe their racial • Professional architects account for a quarter category. of all registered persons on the database, followed by professional architectural • The profession is still largely white, with the draftspersons (18%), and professional senior 2005 – 2009 period indicating that 55% of architectural technologists (15%). all registrations were completed by white professionals and candidates. • The South African architectural profession has a relatively young profile with 66% or • There has been a significant increase in the two-thirds of all registered persons between percentage and number of black candidates the ages of 20 – 49. with over 22% of registrations from black candidates over the same period. • Professional architects and professional architectural draughtspersons are more likely • There are some 166 disabled registered to be self-employed than the other persons, which constitute 1,25% of the total. architectural professionals. 41 SACAP Annual Report 2009 - 2010 Section Three Mandates
Registration
New registration and movement in current year: 1 April 2009 – 31 March 2010.
Total Total as as at at Candidates 31 31 Movement March March 2009 2010 Candidate Architectural 394 597 203 Draughtsperson 31-Mar-09 31-Mar-10 4000 Candidate Architectural 348 487 139
Technologist 3620 Candidate Senior 173 251 78 3430 Architectural Technologist Candidate Architect 304 493 189 3000 Sub total 1 219 1 828 609
2481 Total Total as 2388 as at at Professionals 31 31 Movement 2043 2077 March March 2000 2009 2010 Professional Architectural 2 388 2 481 93 Draughtsperson 1316 1350 Professional Architectural 1 316 1 350 34 Technologist 1000
Professional Senior 2 043 2 077 34 597 Architectural Technologist 487 493 394 348 304 Professional Architect 3 430 3 620 190 251 173 Sub-total 9 177 9 528 351 0
CAT PAD PAT CAD CSAT PSAT CANT PrArch
42 SACAP Annual Report 2009 - 2010 Section Three Mandates
Total number of new registrations for 2009/2010
Per category 31-Mar-09 300 Candidates Registrations for 2009/10 Candidate Architectural Draughtsperson 203
Candidate Architectural Technologist 139 225 Candidate Senior Architectural Technologist 78 203 189 190 Candidate Architect 189 Sub-total 609 150 139 Professionals Registrations for 2009/10 Professional Architectural Draughtsperson 93 93 78 Professional Architectural Technologist 34 75 Professional Senior Architectural Technologist 34 34 34 Professional Architect 190 Sub-total 351 0
CAT PAD PAT CAD CSAT PSAT CANT PrArch Total number of non-active professionals at 31 March 2009 and 31 March 2010 31-Mar-09 31-Mar-10 Non-active Total as at Total as at Movement 3000 31 March 31 March 2009 2010 2215 2242 Declined 0 1 1 2250 Disqualified 0 3 3 Deceased 71 71 0 1500 Non-practising 95 95 0 Removed 2 215 2 242 27 Retired 65 65 0 750 Resigned 138 138 0 138 138 71 71 95 95 65 65 Total 2 584 2 615 31 0 1 0 3 0
RETIRED DECLINED DECEASED REMOVED RESIGNED DISQUALIFIED 43 NON-PRACTICING SACAP Annual Report 2009 - 2010 Section Three Mandates
Race: Registration stats for each of the following (1 April 2009 to 31 March 2010)
150.0 Category Race Total for 141 2009/10 132 Candidate Architectural Black 96 Draughtsperson 112.5 107 White 107 96 Candidate Architectural Black 79 79 Technologist 75.0 65 White 60 60 58 Candidate Senior Black 34 48 44 Architectural 37.5 34 Technologist 28 20 17 17 White 44 14 Candidate Architect Black 48 White 141 0 Black Black Black Black Black Black Black Black Professional Black 65 White White White White White White White White Architectural Draughtsperson CAD CAT CSAT CANT PAD PAT PSAT PrArch White 28 Professional Black 14 Architectural Technologist White 20 Professional Senior Black 17 Architectural Technologist White 17 Professional Architect Black 58 White 132
44 SACAP Annual Report 2009 - 2010 Section Three Mandates
Gender: Registration stats for each of the following (1 April 2009 to 31 March 2010)
Grand Total M Grand Total F 200
Category Gender Total 163 Male Female 150 144 Candidate Architectural Draughtsperson 163 40 203 Candidate Architectural Technologist 87 52 139 Candidate Senior Architectural Technologist 59 19 78 106 100 87 Candidate Architect 106 83 189 83 85 Professional Architectural Draughtsperson 85 8 93 59 Professional Architectural Technologist 26 8 34 52 50 46 40 Professional Senior Architectural Technologist 27 7 34 26 27 Professional Architect 144 46 190 19 8 8 7 Total 282 69 351 0
CAT PAD PAT CAD CSAT PSAT CANT PrArch
45 SACAP Annual Report 2009 - 2010 Section Three Mandates
Province: Registrations stats for each of the following (1 April 2009 to 31 March 2010)
Grand Category Province total EP FS GAU KZN LIMP MPM NCP NWP OTH WCP Candidate 14 4 93 26 9 10 4 7 3 33 203 Architectural Draughtsperson Candidate 13 7 85 15 1 2 3 1 8 54 189 Architectural Technologist Candidate Senior 12 3 61 26 4 6 3 5 2 17 139 Architectural Technologist Candidate Architect 5 7 34 10 1 0 1 2 3 15 78 Professional 7 2 27 19 10 6 0 1 1 20 93 Architectural Draughtsperson Professional 2 1 7 13 2 0 0 2 1 6 34 Architectural Technologist Professional Senior 18 4 77 16 2 1 1 0 20 51 190 Architectural Technologist Professional 1 0 18 5 0 0 0 0 0 10 34 Architect Total 72 28 402 130 29 25 12 18 38 206 960
46 SACAP Annual Report 2009 - 2010 Section Three Mandates
100 EP FS 93 GAU KZN LIMP 85 MPM NCP NWP 77 OTH WCP 75
61
54 51 50
34 33
27 26 26 25 20 20 19 18 18 17 16 15 15 14 13 13 12 10 10 10 10 9 8 7 7 7 7 7 6 6 6 5 5 5 4 4 4 4 3 3 3 3 3 2 2 2 2 2 2 2 2 1 1 1 1 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 CAD CANT CAT CSAT PAD PAT PrArch PSAT
47 SACAP Annual Report 2009 - 2010 Section Three Mandates
3000 Professionals: by Gender 2859 (Total number of active registered professionals on
database as at 31 March 2010) 2250 2155
Gender Grand Total Category 1666 Male Female 1500 Professional Architectural 2 155 326 2 481 Draughtsperson 1105 Professional Architectural Technologist 1 105 245 1 350 761 Professional Senior Architectural 1 666 410 2 076 750 Technologist 410 326 Professional Architect 2 859 761 3 620 245
Total 7 785 1 742 9 527 0 PAD PAT PSAT PrArch
Professionals: by Race (Total number of active registered professionals on database as at 31 March 2010)
4000 Category Race Total for 2009/10
Professional Architectural Draughtsperson Black 1 227 3039 3000 White 1 254 Professional Architectural Technologist Black 418 White 932 2000 1573 Professional Senior Architectural Technologist Black 503 1227 1254 White 1 573 1000 932
Professional Architect Black 581 581 503 418 White 3 039 Professional Architectural Draughtsperson Black 1 227 0 Black White Black White Black White Black White White 3039 PAD PAT PSAT PrArch Total 9 527
48 SACAP Annual Report 2009 - 2010 Section Three Mandates
500 Candidates broken down into gender and race – total number 472 of active registered candidates on database as at 31 March 2010 375 Gender 342 311 Category Gender Total
Male Female 250
Candidate Architectural Draughtsperson 472 125 597 187 182 Candidate Architectural Technologist 342 145 487 145 125 125 Candidate Senior Architectural Technologist 187 64 251 64 Candidate Architect 311 182 493 Total 1 312 516 1 828 0 CAD CAT CSAT CANT
Candidates broken down into gender and race – total number of active registered candidates on database as at 31 March 2010 Race 400
Category Race Total 360 Candidate Architectural Draughtsperson Black 268 329 297 White 329 300 268 Candidate Architectural Technologist Black 297 White 190 190 Candidate Senior Architectural Technologist Black 122 200
White 129 129 133 122 Candidate Architect Black 133 100 White 360 Total 1 828
0 Black White Black White Black White Black White CAD CAT CSAT CANT
49 SACAP Annual Report 2009 - 2010 Section Three Mandates
Number of years that candidates have been registered –
Period of registration for candidates (31 March 2010)
Category 1 2 3 4 5 6 More Year Years Years Years Years Years than 6 Years Candidate Architectural Draughtsperson 205 184 86 112 10 4 2 Candidate Architectural Technologist 139 148 76 103 13 3 8 Candidate Senior Architectural Technologist 78 40 43 65 16 6 3 Candidate Architect 189 119 46 59 22 1 48 Total 611 491 251 339 61 14 61
PROFESSIONAL PRACTICE EXAM
Key data as follows: September March 2009 2010 Total that wrote 193 172 Highest mark 79% 83% Lowest mark 11% 2% Average 57% 58%
50 SACAP Annual Report 2009 - 2010 Section Three Mandates
Continuing Professional Development
TIMETABLE FOR RENEWAL OF REGISTRATION ntil 2008, professional registration with the South African Council for A B C D E F the Architectural Profession was a 1 1971 1972 Uonce-off process and registration was 2 1973 1974 1975 1976 1977 valid until resignation, voluntary retirement, or 3 Year of 1978 1979 1980 1981 1982 upon death. Registration could also lapse as a 4 first registration 1983 1984 1985 1986 1987 result of removal from the register due to 5 1988 1989 1990 1991 1992 non-payment of the annual fee, or for disciplinary 6 1993 1994 1995 1996 1997 reasons. 7 1998 1999 2000 2001 2002 However, the Act prompted a limited validity of 8 2003 2004 2005 2006 2007 registration. Section 22(2) of the Architectural 9 First Renewal of Registration 2009 2009 2010 2011 2012 Act No 44 of 2000 mandates Council to 10 Number of Credits required for First Renewal 5 5 10 15 20 determine the conditions for renewal of of Registration registration. After consultation with interested 11 Second Renewal of Registration 2013 2014 2015 2016 2017 stakeholders and recognised VAs, and after 12 Number of Credits required for 20 25 25 25 25 postponement of the implementation by one year, 13 Third Renewal of Registration 2018 2019 2020 2021 2022 1 January 2008 became the first year of 14 Number of Credits required for Third Renewal 25 25 25 25 25 implementation of continuing professional of Registration development (CPD).
The challenge of how to phase in the five-year renewal period was overcome by systematically has received numerous requests from registered • Registered persons may apply for exemption dividing the years from 1971 to 2007 (see table). professionals for exemption due to age, illness, from category one activities. Persons registered in 2008 onwards have to renew incapacity, retrenchment, pregnancy and the fact • Registered persons may apply for partial their registration every five years. that they reside in remote areas. exemption for a limited period. CPD EXEMPTION On 19 February 2010, Council approved the • An exemption will be valid only for one following CPD exemption conditions and Recently it has become apparent that some calendar year. resolved that registered persons may apply for full registered professionals are not able to comply exemption from CPD: with the requirements of the CPD policy. SACAP 51 SACAP Annual Report 2009 - 2010 Section Three Mandates
CPD RENEWAL OF REGISTRATION 2010 Registered professionals who registered in the years listed below were required to renew their registration by 31st December 2009. Total number of Registered Professionals due for renewal – 1083*
Date No Date No Date No Date No Date No Date No Date No 1975 51 1980 58 1985 44 1990 25 1995 92 2000 148 2005 665
Registered professionals due to renew their registration at the beginning of 2010, by category of initial registration
Summary Total Professional Architectural Draughtspersons 60 Professional Architectural Technologist 66 Professional Architectural Senior Technologist 179 Professional Architects 540 TOTAL *845
*Note: The difference in totals is because registered professionals are either deceased, removed, non- practising or retired.
By 30 March 2010, SACAP had received more The biggest challenge remaning is that registered than half of the required submissions for renewal professionals do not keep to the deadlines set for of registrations. The first cycle of renewals was a the submission of documents. steep learning curve which included the The positive increase in CPD submissions is a implementation of a interim capturing tool and clear indication that registered professionals the appointment of the CPD Officer, both of acknowledge the need for CPD; however SACAP which assisted greatly with the task of evaluating encourages all registered professionals to ensure and processing the renewals. that they comply with all the outcomes before submitting the required CPD documentation. 52 SACAP Annual Report 2009 - 2010 Section Three Mandates
CPD PORTFOLIOS SUBMITTED • Registered professionals still have dificulty in understanding the CPD requirements and The evaluation and capturing of the CPD allocating credits to the different categories. portfolios, submitted as part of the normal five- year cycle, was conducted in conjunction with the • Registered professionals do not comply with the 2010 renewals. It is safe to say that CPD work CPD system outcomes. constituted a large percentage of the workday of • Registered professionals do not stick to the Professional Development Unit team. published deadlines.
CPD STRATEGIC ISSUES AND • Due to the limited functionality of the CPD CHALLENGES online tool, capturing of CPD credits is still done manually. • Registered professionals still find it difficult to obtain and attend Category Category One CPD events, due to cost and location of the events.
Professional Senior Architectural Architectural Architect Architectural Technologist Draughtsperson Technologist
Registered professionals qualifying for the first 540 179 66 60 cycle of CPD renewal of registration Total registered professionals in the renewal cycle who 288 111 24 20 complied with the CPD requirements Percentage of registered professionals in this renewal cycle 53% 62% 36% 33% who complied with CPD requirements 53 SACAP Annual Report 2009 - 2010 Section Three Mandates
Recognition of Prior Learning SUCCESS STORIES
Al Stratford SAIA for the first project it built, and later another for Stratford’s Guesthouse and Al Stratford is the founder of WINTEC, a Conference Centre. company involved with the design, marketing and distribution of innovative architectural Having already produced award-winning technology. He has been the President of the architectural design that was recognised nationally South African Institute of Architects (SAIA) by his peers, he was able to submit this work for since 2008. RPL. In addition, reference letters were sent to SACAP attesting to Al’s skills and knowledge. Al always had an avid interest in architecture and industrial design. He started his career studying In 2001 he wrote the Professional Practice Exam for a Mechanical Design Diploma at technikon, (PPE) and based on RPL was able to register and thereafter worked as a Structural Steel with SACAP as a Professional Architect. Draughtsman and Reinforced Concrete Registration as a Professional Architect opened Technologist. He later set up his own company as the doors for Al to be more actively involved in a contractor, and then joined Zakrzewski invented, and for which he won the SA Bureau of the profession nationally, and he was also able to Associates, a multi-disciplinary practice in Standards industrial design award in 1988. undertake projects reserved for architects. Durban where he made the cross-over from engineering to architecture. Winblok (Pty) Limited was launched shortly after In 2008 he bought Winblok (Pty) Limited back, the Urban Foundation office closed, growing from and his sons now run the business under the After being retrenched from the Durban practice nothing in 1985 to revenue of R20 million per WINTEC name. The business is growing with he opened an Urban Foundation office in East annum in 1996. Al spent more time managing franchises in Bloemfontein, Cape Town, Durban, London. The foundation was formed in 1976 to than his first love of designing, so in 1998 decided East London, Gaborone, Gauteng, Mpumalanga, work directly with disadvantaged communities to to sell the business. By this time he had also Namibia, Polokwane, Port Elizabeth, and Vryheid. address the inequalities in society, focusing on developed Winstep® Stair and Walkway System housing, education and health. Unfortunately due Al seeks to develop a broad-based approach to and Windeck® Suspended Floor Systems for to the restrictive apartheid policies at the time, the architecture grounded in sustainable technology, which he retained ownership. foundation found it extremely difficult to operate linked to the transfer of skills and the and the office had to be closed. Even though he had never formally studied development of new compact urban communities. architecture and was not a registered architect, he Working with his partners and with the assistance He patented Winblok in 1981, a modular, precast joined an architectural firm as a partner in 1994. of private developers, foreign aid and the concrete window and wall system which he The practice started with an Award of Merit from municipality, he is working towards the 54 SACAP Annual Report 2009 - 2010 Section Three Mandates
establishment of the revitalised inner city and Given the strategic objectives set out on the urban renewal. SACAP website, he expected the pre-interview process to be very intimidating. It turned out to Practising in East London, he has completed a be more relaxed and fair than he had anticipated, number of projects, and in association with other with the questions asked being relevant and architects is building a new teaching facility for succinct. His opinion was that although the University of Fort Hare. It is the first new preparation of the required documentation was university building to be built in the city and extremely demanding, the interview was not forms part of a strategic development framework something that could be prepared for. that is designed to integrate the university into the inner city fabric. This new building is also Alistair successfully passed the RPL process and radically designed to be naturally ventilated using the upgrade has resulted in more project solar and wind energy. responsibilities being assigned to him at his Al is testimony to the philosophy that if you are current workplace. He has gained more field experience which has inspired him to develop passionate about something nothing can stand in Since 2007 he has been working for Consultium himself even more. He firmly believes that he is your way. Architects and Urban Designers as a Senior more confident as a Senior Architectural Architectural Technologist. Alistair van Rooyen Technologist, and that the upgrade will enable his Alistair found the RPL portfolio requirements set professional development as an architect. After matriculating from President High School in 1999, Alistair enrolled at the Technikon of the out by SACAP to be extremely detailed and spent His firm Consultium has been appointed as chief Witwatersrand in 2002 to study Architectural weeks in preparation thereof. He endeavoured to architectural consultants on several significant Technology. At the end of 2004 he completed the construct and design the document in a manner projects, and Alistair has been appointed as the National Diploma with distinctions in several that was as consistent as possible, even though the production leader for many of them. subjects, and in 2009 enrolled at the University of projects worked on were completed with different He is very pleased that an uninformed or Johannesburg to complete a BTech Architectural firms in different places. One of the specific financially prejudiced technikon graduate could be Management degree, also with distinction. requirements is that the graphic and presentation given the opportunity to further his status with In 2003 he joined Barlin & Chaskelson Architects skills of the RPL candidate should be evident in the implementation of the Professional Practice as an Architectural Technologist, and from 2005 the portfolio submission. Long hours were thus Exam and RPL assessments. These mechanisms to 2006 worked at Charles van Breda Architects. spent working on the design and layout. provide the possibility of ultimately upgrading to 55 SACAP Annual Report 2009 - 2010 Section Three Mandates
the category of Professional Architect. multipurpose sporting hall, upgrading of buildings in the CBD, a motor dealership show room, and Alistair has proved that with hard work and various houses. determination one can achieve one’s goals and excel in one’s chosen profession. Elmarie loves her career passionately, and constantly strives to make a success of every Elmarie Basson project she is involved in. She has made it her Since March 2010, Elmarie has been working at mission to design a project which will become a Simons and Lee Architects in Sasolburg in the landmark in the Free State. Free State. Before leaving Prism Architects to join Simons and Lee Architects , she completed work on the Peter Mokaba Stadium in Polokwane.
She has a Diploma in Architecture from Pretoria Technikon, and a Damelin Diploma in Project Just before she finalised her portfolio she was Management. After completing her studies she informed that it had to include butcher paper worked as a Senior Architectural Technologist for designs, planning diagrams, etc. which she no six years. She was principal agent on a number of longer had. This made her more nervous than she projects including office blocks, an international already was. airport, and numerous buildings at the University of Venda. It was a lifetime dream of Elmarie’s to become a professional architect, and she has never been one Preparing her RPL portfolio was a very difficult to settle for second best. She has now achieved task as there is tremendous pressure at an one of her many dreams. architectural firm, with very little time to work on other things. She had a dedicated administrative Prospects are very good at the firm where she is assistant and two technicians who helped with her working, with potential partnership on the portfolio which took roughly seven months to horizon. She is currently implementing a new compile. technical draughting system to streamline the draughting office, and her projects include a
56 SACAP Annual Report 2009 - 2010 Section Three Mandates
RPL – STATISTICS
Category to be upgraded to 1 April 2009 to 1 April 2009 to 31 March 2010 31 March 2010 Professional Architect 12 12 Professional Senior Architectural 2 1 Technologist Professional Architectural Technologist 2 Gender Male 14 10 Female 2 3 Race Black 2 3 White 14 10 Success rate 56% 46%
RPL : Total and percentage of total registered professionals
Description As at 31 March As at 31 March 2009 2010 Total registered professionals 9170 9521 % of registered professionals that underwent RPL 0.10% 0.10% Total assessments done 16 13 Number successful 9 6 Success rate 56% 46%
57 SACAP Annual Report 2009 - 2010 Section Three Mandates
Legal Compliance
SACAP has received a steady increase in cases from members of the public.
The majority of cases are related to the following: • Contractual disputes; • Fraud; • Misrepresentation of registration category; and • Premature issuing of Completion Certificates.
Registered persons should comply with Rule 4 (1) of the Code of Conduct, as the majority of the complaints that SACAP receive originate from the breach of this rule.
Registered persons should familiarise themselves with the following to assist in carrying out professional services:
• Identify the scope of work;
• Allocation and limitation of responsibility;
• SACAP recommended tariff of fees • Provisions for dispute resolution. the complaint in the form of an affidavit, and including the method of fees calculation and consequently the complaint is dismissed. SACAP advises the public to follow the standard work stages and fees due for professional procedure to lodge a complaint, which includes SACAP advises the public to insist that the services rendered; the complainant providing SACAP with a provisions of Rule 4 (1), of the Code of Conduct • Budget; detailed complaint in the form of an affidavit, be complied with prior to finalising the • Provisions for termination of services; with an undertaking that the complainant will engagement of a Professional Person, and to make assist SACAP in bringing the matter to closure. sure that the professional is registered with • Professional indemnity insurance details; In many instances, the complainant fails to submit SACAP. 58 SACAP Annual Report 2009 - 2010 Section Three Mandates
Education Fund Interviews conducted with three of the Grantee’s
Athi Njoba Athenkosi Sinoxolo The highlight was being funded to go to congress The university focuses so much on practical work; (2009/2010 grantee) because it exposed me to new horizons. I was able however common ground between the conceptual, Nelson Mandela Metropolitan University to interact with students from other universities, contextual and practical aspects of architecture is and discover the differences in the way that their required. The lecturer to student ratio reduces the Where are you from? faculties are run. I enjoyed being exposed to attention a student is meant to be receiving. I feel I am from Stutterheim in the Eastern Cape. knowledge and listening to how the world views that starting computer programs in second year Where are you studying? Africa and how positive they are compared to us. leaves us behind as compared to the technology students. I am studying at the Nelson Mandela Describe your experience as a student. Metropolitan University. NNMU is good as a whole; however it could be Do you have any rolemodels and if so who and why? improved upon with advanced technology. The I do not have a particular role model; however I What course are you studying? department offers good resources, widely admire several things from different kinds of I am studying a BAS Architecture; the degree is recognised programmes and world-class lecturers. people. Renzo Piano continuously displays his three years with a fourth and fifth year for I feel that the lesson content could be improved masterpieces which primarily focus on self- Honours and Masters. with more refined and current module guides. sustaining architecture which is a movement to What year of study are you in? The problem is the lecturer to student ratio, i.e. save our world. However the one I believe in is I am in my second year of study. there are too many students. Jesus! How has the SACAP Education Fund grant helped There is an excellent culture in the studio space What are your plans once you have completed your you? and in the department. There is no segregation studies? SACAP has helped me in several ways through amongst the senior and junior students. Everyone My plans are to work for experience, thereafter the Education Fund. The grant has helped my helps one another as we are all on the same floor. work and study Planning and Interior Design parents pay for my tuition. It has also enabled me Most people studying BAS view architecture as a overseas in the UK. Then I want to return to to pay for textbooks, materials for building, culture. South Africa after travelling to feed my nation so that it can reap the rich harvest of the seed it has expensive stationery, and transport for site visits. What challenges or difficulties have you experienced? sown to me. I have been able to save for my first laptop, and I find I am being given too many projects. We are can now practise some of the graphical work at expected to cope with rigid deadlines. In the first What are your dreams and goals for the future? home. My projects are no longer put on hold for 6 months we were given seven projects to do, and I want to be a successful architect and an pay day, but I can start with them immediately that was only for Design. We are also expected to ambassador for South Africa. I want to influence now that I have the necessary resources. thrive in our other subjects as well. my generation, especially in the rural places in the 59 SACAP Annual Report 2009 - 2010 Section Three Mandates
Eastern Cape and other provinces. I want to M Arch course at any of five universities in South language. Apart from that my second biggest influence people in international and local circles. Africa. UCT would be my first choice of challenge is coping financially, especially without academic institution after I complete the BTech local family connections to assist when necessary. What do you think can be done to assist degree at CPUT. transformation in the architectural profession? Do you have any rolemodels and if so who and why? Transformation of the architectural profession What year of study are you in? Alex Smuts of DOMAIN| Architects and Urban would have to start in the rural areas where young I am in my second year of study. Designers who believed in me from the first time children need to be informed about such careers. we met in 2004. He assisted me greatly in getting How has the SACAP Education Fund grant helped Also to inform them of sustaining energy through accepted at CPUT. I am currently doing my you? wind power, methane, animal waste, etc. This field second practical training year with his firm, and It helped me immensely to afford the expenses needs more Africans in it! And we need to make I have learned so much more in my field of study. associated with studying full time. Without this sure that the schools equip children at high school grant I would not be able to continue with my Jacko Maree, a self-made entrepreneur and level to cope at university level. dream of becoming an architect. Michael Brand of Brand Engineering must also Joseph Kalango be singled out as rolemodels. I thank them for Describe your experience as a student (2009/2010 Grantee) their assistance with my studies. The Cape Peninsula University of Technology Cape Peninsula University of Technology (CPUT) has a very high standard of education Others guru’s must include Glenn Murcutt and Where are you from? and the courses are well-organised. The content Le Corbusier. I was born in Kigoma (Tanzania) and lived in of the Architectural Technology course is What are your plans once you have completed your Kalemie (Tanganyika Province) in the Democratic well-structured and comprehensive. studies? Republic of Congo. I was however forced to leave Not originally from South Africa, and of a Once qualified at CPUT my dream is to be my homeland when the situation became different culture to the majority of the students, it accepted at UCT or another university in South unbearable due to the civil war in 1998. is sometimes hard to interact on an equal level to Africa for the M Arch programme. This would Where are you studying? students from South Africa. allow me to become a professional architect. I am currently studying at the Cape Peninsula Despite the cultural differences, I found my fellow Once completing all my studies, I would like to University of Technology. students and lecturers very accommodating when gain employment with a top class firm of What course are you studying? I struggle to communicate and interact with architects, and after I gained enough experience The course I am doing is a National Diploma in them. Being considerably older than the average I would like to start my own practice, or become a Architectural Technology which is a three-year student in my course is also a challenge. partner at an existing firm that I am comfortable course. After I obtain my diploma my intention is with. What challenges or difficulties have you experienced? to do the BTech Architectural Technology, and if My biggest challenge is most certainly What are your dreams and goals for the future? I do well enough it will enable me to enrol for the communication, as English is only my third I would truly like to assist by helping others, as 60 SACAP Annual Report 2009 - 2010 Section Three Mandates
I have been helped by so many individuals. architecture is much different to one studying any As much as the grant has helped me I think that other course at university simply due to our it would be more beneficial if SACAP puts the What do you think can be done to assist workload. Wits is a wonderful institution to study funds into the student’s personal accounts rather transformation in the architectural profession? at as it is very professional yet fun. than into their university accounts because we Inequality in terms of resources remains the need the money for materials and equipment. biggest challenge. To help alleviate this, it would I think that the way the course is set out is Once the money is in the university account it certainly help to increase the awareness of the excellent because you do so many fun and becomes a mission to withdraw the money thus built environment, and the appreciation of good interesting things and you learn so much at the one has to take out a loan to pay for materials. architecture among underprivileged communities. same time. The degree requires a lot of time and Then financial assistance by those that have energy, thus resulting in me not having much of a What are your plans once you have completed your surplus funds would also help those that cannot social life or interacting with students studying studies? afford to study. other courses at varsity. Once I have qualified I would love to work for a prominent architect in South Africa or anywhere Rishantha Pather What challenges or difficulties have you experienced? in Africa in order to gain valuable experience. My greatest challenge in university is my financial (2009/2010 grantee) I would also like to venture into other fields in the status. In first year I had to get a part-time job University of Witwatersrand built environment such as town planning in order which paid very little, just to pay for transport and to broaden my knowledge and skills. Where are you from? project materials. This impacted me very I’m from Malvern in Johannesburg. negatively in terms of my academic work because What are your dreams and goals for the future? Where are you studying? I hardly had time to do my work, and since I had My biggest goal is to help those who come from a I am studying at the University of the no computer at home I had to go after work on similar background as mine. I would love to start Witwatersrand. weekends to Wits to finish projects. a skills development programme enabling people to be able to construct their own structures, and What course are you studying? At the beginning of this year I had to quit my job I would love to be involved in social and low-cost I’m studying architecture and the entire course because it was difficult working and studying. housing. length is six years. Now I experience more difficulty because I don’t have that extra money and have to sacrifice a lot What do you think can be done to assist How has the SACAP Education Fund grant helped of things just to get by. transformation in the architectural profession? you? I think the architectural profession needs to assist Due to my family’s financial status the fund has As a student it feels like ‘each man for himself ’. students more. Information about the profession helped me immensely in terms of university fees I also feel that we need more financial assistance isn’t easily accessed, and architectural firms and as the course is very expensive. because the degree requires a lot from us, and if architects don’t really get out there and recruit you don’t own a computer or have internet access Describe your experience as a student students. it becomes very hard to compete with your peers. I’d say my experience as a student studying 61 SACAP Annual Report 2009 - 2010 Section Three Mandates
EDUCATION FUND STATISTICS
EDUCATION FUND GRANT The following table indicates the value of grants CRITERIA FOR GRANTS ALLOCATIONS 2009 allocated per institution for the year under review: Students find it difficult to get study loans or Section 15 of Act No 44 of 2000 stipulates that Institution Allocated bursaries, most donors requiring evidence of amount Council may establish and administer an performance at a tertiary institution or requiring R45 000,00 education fund for the purpose of education, Cape Peninsula University of guarantees, which parents are generally unable to training and continuing education and training of Technology (CPUT) provide. The SACAP Education Fund grant aims
registered persons and students in the Nelson Mandela Metropolitan R183 258,00 to assist students from disadvantaged backgrounds architectural profession. It is on that basis that University (NMMU) who might be excluded from study due to SACAP has an Education Fund. financial need. As from 2009 study grants are R189 000,00 Tshwane University of open to all years of study up to masters level. In the year under review, SACAP received one Technology (TUT) hundred and twenty-nine (129) study grant Educational institutions are required to R60 700,00 applications and an amount of R800 000 was University of Cape Town recommend annually, and rate in order of need (UCT) allocated to sixty-nine (69) students from all and merit, students who have severe financial races. R126 00,00 problems and are in need of funding for books, University of Free State (UFS) materials and transport.
Univeristy of Johannesburg R15 000,00 The amount to be awarded to each applicant is (UJ) determined by assessing, on the basis of the fund’s annual accounts, the total amount available for the University of KwaZulu-Natal R65 000,00 grants and dividing this amount by the number of (UKZN) successful applicants who are from a R103 000,00 disadvantaged background. This decision is at the University of Pretoria (UP) discretion of the SACAP Education Fund Committee and it is ratified by Council. University of Witwatersrand R78 042,00 (Wits)
No applications were received from Durban University of Technology (DUT).
62 SACAP Annual Report 2009 - 2010 Section Three Mandates
Professional Fees
The National Department of Public Principle concerns Capacity constraints Works (NDPW) circulated a proposal regarding competitive Fee discounting Capacity constraints are likely to manifest at four levels. tendering for built environment The central concern with the proposal related to professional services viewing the tendering for professional services in Firstly, professionals are generally not competent the same way as the system of tendering for at, nor accustomed to bidding on fees. They are SACAP together with the South African Institute building works as used with respect to tenders from thus placed at severe risk where such bidding is for Architects (SAIA) and the South African building contractors. not informed by negotiation around commitment Institute for Architectural Technologists (SAIAT) Tendering for professional services is generally trade-offs with respect to the scope of work or submitted a letter of response to the NDPW on based on a well-defined scope of work, scope of services, or the controls over the environment in 5 March 2008. The purpose of the letter was to services, bills of quantities, and specifications, which such discounting takes place, in particular raise opposition against the tendering process and enabling fair and transparent assessment of the with regards to procurement methods and system proposed by the NDPW. associated pricing. This is however not possible in processes. According to the Construction Industry cases where the scope of work and services is not Secondly, extensive preparation is required to Development Board (CIDB) Discussion Paper on clearly defined, which has largely been the produce a tender document that comprises a experience with NDPW projects. Competitive Tendering, one of the key well-defined brief and scope of work on which to considerations when engaging professional When what is tendered on relates mainly to an base a projected ‘scope of service’ and estimated services providers is to ensure that the quality of estimated project cost, the resultant response is fee project costs. outputs and deliverables satisfy client discounting which tends to favour the biggest Thirdly, the tender adjudication process requires requirements and expectations. The emphasis in discount. In such cases it is not possible to assess the involvement of a large contingent of the proposal on fee bidding did not support this the impact of the discount on the scope of work, knowledgeable and experienced personnel in order end. and professionals are placed at severe risk. This to fairly adjudicate the worth of tenders based on Another key consideration recognises that works against sustaining a quality service and a quality product. It may also create conditions qualitative aspects. competitive selection systems should include under which collusion and manipulation can take tendering procedures and selection methods that Fourthly, a monitoring, evaluation and review place. are based primarily on quality considerations; with process involving both DPW functionaries and cost considerations as a subsidiary aspect. This Contractors are commonly permitted to qualify external stakeholders would be critical to ensure focus on quality was not promoted in the their tenders, which would include raising the effective, fair and transparent implementation proposal. insurances against identifiable risks. This recourse of any major new initiative of this nature. is specifically excluded for professionals. 63 SACAP Annual Report 2009 - 2010 Section Three Mandates
Competitive bidding alternatives specialised projects, or limited competitions for the development of generic concepts for routine It was proposed that the primary focus of building types, which would then serve as a basis competitive tendering would shift from fee for competitive bidding by professionals; discounting to value added. This would present a encouraging multi-disciplinary teams to bid on range of options all of which would come closer the basis of the overall value and savings they are to achieving the objective of maintaining a able to offer. balance between reasonable compensation that will ensure the continued attractiveness and SACAP and it’s stakeholders would like to development of the profession on one hand, and develop solutions to suit the South African ensuring competitiveness on the other. More context, solutions which will ensure that importantly, this will ensure that quality competitive tendering initiatives identified for considerations remain paramount. implementation have a greater likelihood of achieving government’s objective of aligning with The shift to a value-added approach does not international best practice. necessarily translate into reduced fees. Built environment professionals face many challenges in responding to affordability, sustainability and energy conservation prerequisites, in particular to meet the requirements of the SANS 204. To address these challenges requires a considerably greater investment of time and effort in the design and development phases of projects, which will tend to increase the level of fees.
In terms of focusing on value added, options include: exempting architectural professionals from competitive tendering so that they can first develop projects in sufficient detail as a basis for competitive bidding by other built environment professionals; promoting open competitions for
64 SACAP Annual Report 2009 - 2010 Section Three Mandates
Identification of Work
or the four-year tenure of the second- during his tenure. At this meeting, SACAP Professional Councils. Of these submissions, term Council, the slow progress made brought to his attention the problems it was those of the South African Council for Project with the implementation of SACAP’s experiencing due to the slow progress in the and Construction Management Professions FIdentification of Work (IDoW) policy implementation of the IDoW policy. The (SACPCMP), Landscape Architects and SACAP has been a source of much frustration and Minister undertook to ensure that the DPW have been approved by the CBE, and have been discontent. Registered professionals vent their would facilitate the speedy promulgation of the lodged with the Competition Commission for anger at SACAP on a regular basis, given that the IDoW mandates carried by the BE Professional consideration. apartheid era ‘Reservation of Work’, which Councils. Whilst under consideration by the Competition reserves work for professional architects only, is The past year has seen an increase in the tempo of Commission, the Policy Frameworks of still in place. work around the processes for getting SACAP’s SACPCMP, the SACLAP and SACAP are being This means that categories of registered IDoW policy implemented. In January 2008, re-drafted in legislative format for gazetting. professionals, other than professional architects, SACAP submitted its revised IDoW policy to the It is hoped that the legislation will be ready for and who comprise more than two-thirds of all Council for the Built Environment (CBE) for gazetting for comment early in 2011, after which registered architectural professionals, are severely review. The CBE’s role is to ensure that overlaps it will be implemented by the CBE. This would prejudiced in terms of opportunities for accessing with other BE Councils are consistently and bring to conclusion a long process which started larger scale projects. More critically, the effectively addressed, to check compliance with its 10 years ago, in 2000, prior to the promulgation of ‘Reservation of Work’ legislation leaves significant own IDoW Framework, and to submit the policy the Architectural Profession Act 2000, Act No 44 sections of the public vulnerable since it affords no to the Competition Commission and the Minister of 2000. protection for work undertaken which is under for their consideration, before gazetting the 500m2. IDoW as legislation for implementation. The implementation of the IDoW puts SACAP in a unique position internationally, in that it is The beginning of the year under consideration Since May 2009, there have been several the only country in the world that grants was marked by a change of guard at the engagements between SACAP and the CBE professional registration to all categories of Department of Public Works (DPW) with the IDoW Committee towards fine tuning SACAP’s architectural practitioners, and not just to installation of a new Minister, the honourable document and bringing it in line with the architects. In so doing, SACAP has gone a long Geoff Doidge. One of his first initiatives was to submissions from other councils. This has been way in terms of implementing the DPW’s convene a meeting with all Built Environment facilitated by the CBE inviting the SACAP transformation agenda and ensuring improved (BE) Council Chairs and Registrars, where he IDoW Chairperson to serve on the CBE IDoW access and mobility within the profession, thus promised that greater consultation will occur Committee. This committee is currently engaging ensuring a growth in the skills base commensurate between the Councils and his administration with the documents of five of the six BE 65 SACAP Annual Report 2009 - 2010 Section Three Mandates
with the needs of South Africa’s developing economy. A number of professional regulatory bodies for architecture in other developing SACAP CODE OF CONDUCT countries have expressed a keen interest in replicating the SACAP model within their own countries. A registered person is expected to act with due
However, the main impact of the implementation skill, competency and integrity. of the IDoW policy will be in terms of the South Registered persons are subject to the disciplinary African public. They will now be afforded greater protection, since all practitioners will firstly have supervision of the Council governed by the following to be registered with SACAP, and secondly will be rules of conduct: required to certify that they are competent to undertake work for which they are commissioned, Rule 1: Refrain from unprofessional conduct as set out in the IDoW legislation. Rule 2: Ensure, maintain and enhance technical competence Rule 3: Promote professional services in a truthful and responsible manner Rule 4: Fulfil professional responsibilities Rule 5: Establish business within prescribed parameters Rule 6: Adhere to countries local standards and rules for international work
66 SACAP Annual Report 2009 - 2010 •
Section One Governance
Section Four Accounts & Financials
67 SACAP Annual Report 2009 - 2010 Section Four Chief Financial Officer’s Report
Chief Financial Officer’s Report
EXPENDITURE DISTRIBUTION REVENUE DISTRIBUTION
2% 3%2% 6%
37%
53%
1% 5% 87% 4%
Administration Education Fund Annual Fees Honorariums (Committees) Registrations The following is an overview of the Council’s Marketing Exam Fees Staff Salaries financial position for the year ended 31 March Other Inccome Sponsorships 2010. Interest
The financial year that ended 31 March 2010 was The major cost drivers under administration were The major source of revenue was in respect of a challenging year, not only for practitioners who in respect of consultants, professional fees and annual fees which constituted 87% of total faced a slump in an economic environment provision for bad debts which constituted 53%, revenue. Turnover increased by 50% due to the characterised by reduced interest rates, but also for followed by 37% for staff salaries. 50% annual fees rate increase from 1 April 2009. the Council. The Council encountered an The loss for the year was R2,1 million reduced by unprecedented number of requests from registered R0,4 million compared to the previous year. This persons for waiver of payment of fees due to improvement was achieved primarily as a result of economic hardships. a reduction in operating costs accentuated by a reduction in overseas travel, sponsorships and consultants’ costs. 68 SACAP Annual Report 2009 - 2010 Section Four Chief Financial Officer’s Report
SUMMARY OF OPERATING RESULTS FOR THE YEAR ENDED 31 MARCH 2010.
March March INCOME 2010 2009 Annual fees 15 136 051 9 022 157 Registrations 1 049 516 828 944 Exam fees 457 293 293 399 Sub-total 16 642 860 10 144 500
Sundry income Other income 288 575 257 299 Interest on investments 436 219 684 435 Fair value adjustments 0 1 614 739 Sub-total 724 794 2 556 473 TOTAL INCOME 17 367 654 12 700 973
EXPENDITURE 19 535 007 15 220 741 Administration 10 340 000 8 119 651 Education fund 842 284 705 800 Honoraria payments 960 129 325 182 Marketing 226 962 899 416 Staff salaries 7 110 374 3 970 692 Sponsorships 55 258 1 200 000 Net surplus (loss) for the year (2 167 353) (2 519 768)
69 SACAP Annual Report 2009 - 2010 Section Four Chief Financial Officer’s Report
CAPITAL EXPENDITURE the application and principles recommended by OUR APPROACH TO RISK the King Code of Governance Principles (King MANAGEMENT There were no major capital expenditure during III). During the course of the year, the Council the course of the financial year, save for the Managing risks has become an integral part of reaffirmed the appointment of three independent procurement of laptops and office furniture day-to-day management. SACAP embarked on a members to the Audit and Risk Committee. following the recruitment of the Chief Operations risk management process as one of its corporate Officer and the Legal and Compliance Officer. In These appointments enhance the independence governance objectives. addition, office partitioning costs were incurred to and the balance of the Audit and Risk Committee The identification and rating of SACAP’s business restructure offices to accommodate additional consisting of five members, with two members risks was performed in November 2009 and staff. being existing members of the Council. In facilitated by the then newly appointed Internal October 2009, the Council resolved and PROPERTY DISPOSAL (Randpark Auditors. The risk management process is appointed Rebahale Chartered Accountants, as an Ridge Ext 52 offices) designed to identify, evaluate and manage key Internal Audit Service provider. This appointment business risks. The Randpark Ridge offices sold during is further commitment by the Council to maintain The Audit and Risk Committee reviews progress 2008/2009 financial year were transferred in high standards of corporate governance, which is quarterly against agreed actions to assess how October 2009. Hence, the proceeds from the sale seen as fundamental to the control environment management is managing the risks. Executive of the offices amounting to R3,2 million boosted necessary to sustain SACAP’s viability. Management provides regular reports to the SACAP’s financial resources. The Audit and Risk Committee, in its oversight Council who retains ultimate responsibility to risk role, reviewed and recommended to the Council CORPORATE GOVERNANCE management. the adoption of a Fraud Prevention Plan, a Travel SACAP is committed to maintaining high and Entertainment Policy, and a Procurement standards of corporate governance and endorses Policy during the course of the financial year. 70 SACAP Annual Report 2009 - 2010 Section Four Chief Financial Officer’s Report
FINANCIAL PERFORMANCE CONCLUSION SACAP’s five-year financial review SACAP has sustained financial losses for the last 2006 2007 2008 2009 2010 two successive financial years. These losses have R000s R000s R000s R000s R000s been financed from the Council’s reserves. Given Operating income 3,389 7,397 9,286 12,701 17,368 the projected slowdown in economic activity, the Expenditure (2,689) (4,133) (6,640) (15,221) (19,535) Council is planning for cautious and conservative Surplus (loss) 700 3,264 2,646 (2,520) (2,167) growth during the 2010/11 financial year. Ongoing review of SACAP’s financial The decline in financial performance is an indication of the financial challenges that lie ahead. management results will continue in line with Below is a graphical presentation of SACAP’s financial performance for the past five years. long-term strategies to assure the Council’s financial health and to anticipate and prevent any Operating Income/Expenditure/Surplus (Loss) (R000’s) further financial losses.
A modest fee increase of 10% was implemented 20000 19535 from April 2010 to March 2011. This increase was 17368 to directly offset inflationary cost increases 15221 expected during the financial year. 15000
12701 Expenditure controls are in place supported by increased revenue collections strategies. In this regard, the Executive Management has embarked 10000 9286 on strict expenditure controls to ensure that only 7397 6640 inevitable expenditures relating to specific programmes and services are committed and that 5000 4133 3389 3264 expenses are aligned to revenue. 2689 2646
700 0
-2520 -2167
-5000 2006 2007 2008 2009 2010
71 SACAP Annual Report 2009 - 2010 Section Four Audit and Risk Committee Chairperson’s Report
Audit and Risk Committee Chairperson’s Report
Chairperson: Charles Senoamadi Functions including role, responsibility, service to Council Committee members 1. The Audit and Risk Committee assumes the Charles Senoamadi following fundamental responsibilities: (Independent member reappointed: 19 February 2010) • Foster and improve communication and Rene Kenosi contact among relevant stakeholders in the (Independent member reappointed: 19 February organisation, i.e. monitoring of management 2010) processes. Victor Mbuli • Ensure that all stakeholder interests are (Independent member reappointed: 19 February taken into account in the management of 2010) operations. Lula Scott • Ensure that there are adequate processes to (Council member appointed: 19 February 2010) assess the organisation’s risks and control environment. Anthea Houston Terms of reference: (Council member appointed: 19 February 2010) • Ensure that management has implemented • Assist Council in its evaluation of the adequacy policies and procedures to identify risks and Dates of meetings and efficiency of the internal control systems, appropriately manage these risks through an 12 May 2009 accounting practices, information systems and effective system of internal control. auditing processes applied in the day-to-day 25 June 2009 • Ensure the oversight of the financial management of the organisation; reporting process. 5 August 2009 • Recommend the introduction of measures which • Review the financial statements and 24 Nov 2009 the Audit and Risk Committee believes may appropriateness of the accounting policies 4 February 2010 enhance the credibility and objectivity of and significant transactions/estimates. financial statements and reports concerning the • Ensure that both the internal and external Secretary: Kagiso Noke affairs of the organisation; and audit processes are evaluated. Operational accountability: The Audit and Risk • Advise on any matter referred to the Committee • Ensure that the work of internal and external Committee reports to Council in respect of all its by Council. audit is appropriate, risk-based, properly activities 72 SACAP Annual Report 2009 - 2010 Section Four Audit and Risk Committee Chairperson’s Report
Audit and Risk Committee Chairperson’s Report
co-ordinated to ensure no duplication of 7. The committee shall oversee the process of establish appropriate staffing requirements. audit effort takes place and that assurance identification and assessment of the general • Development, implementation, and provided by the Audit and Risk Committee operational risks, reviewing the outcome of risk monitoring and evaluation of key policies is maximised. assessments and advising management as and procedures in the new financial year. necessary. 2. The Audit and Risk Committee shall report and • Enhance timely and effective monitoring make recommendations to the organisation but Achievements and evaluation of current processes. management retains responsibility for • Appointment of internal auditors to Council Operational input: implementing such recommendations. • Ensured that a risk management framework is With the exception of specific matters listed 3. The committee shall monitor and consider any adopted which has resulted in key strategic and above, the Audit and Risk Committee is not non-audit services rendered by external auditors operational risks being identified such that they aware of any contravention of legislation during in order to ensure that any non-audit services can be managed appropriately in the 2010/11 the period under review. will not impair the independence of external financial year. auditors, taking into consideration the relevant The Audit and Risk Committee has • The Audit Committee reports that it has professional and regulatory requirements. recommended the annual financial statements for complied with and discharged its responsibilities approval by the Council prior to its submission to 4. The committee shall evaluate the performance as stated in the charter, for the period under the external auditors. and effectiveness of external auditors annually, review. i.e. review the audit role, explore objectives, Furthermore, the Audit and Risk Committee is Challenges minimise duplication between external audit not aware of any material misstatements that may and internal audit including the discussion of • Lack of ownership of processes. impact on the outcome of the audit opinion. the new auditing methodologies and standards • Lack of appropriate capacity to deal with key
and other relevant regulations and also ensure strategic risks as identified. that the external audit fee is appropriate. • Lack of appropriate policies and procedures 5. Review the financial and enterprise-wide risk within the organisation. management policies and disclosures. Way forward/recommendations
6. The committee shall ensure that the internal • Capacitating and retraining of staff auditors discharge their functions effectively members. and in a timely manner i.e. in terms of an • Adequate resourcing of functions which may approved plan. have to include process regeneration to 73 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
SACAP COMBINED ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2010
INDEX The reports and statements set out below comprise the combined annual financial statements presented to the members:
INDEX PAGE Report of the Independent Auditors 75 Council’s Responsibilities and Approval 76 Registrar’s Report 77 Statement of Financial Position 79 Statement of Comprehensive Income 80 Statement of Changes in Funds 81 Statement of Cash Flows 82 Accounting Policies 83 Notes to the Combined Annual Financial Statements 86 The following supplementary information does not form part of the combined annual financial statements and is unaudited: Detailed Income Statement 101
74 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
REPORT OF THE INDEPENDENT AUDITORS
To the persons registered with the South Auditors’ responsibility Opinion African Council for the Architectural Our responsibility is to express an opinion on In our opinion, the combined annual financial Profession (established under the these combined annual financial statements statements present fairly, in all material respects, Architectural Profession Act) based on our audit. We conducted our audit in the financial position of South African Council We have audited the accompanying combined accordance with International Standards on for the Architectural Profession (established annual financial statements of the South African Auditing. Those standards require that we under the Architectural Profession Act No 44 of Council for the Architectural Profession comply with ethical requirements and plan and 2000) as of 31 March 2010, and of its financial (Established under the Architectural Profession perform the audit to obtain reasonable performance and its cash flows for the year then Act No 44 of 2000), which comprises of the assurance whether the combined annual ended in accordance with International Financial Registrar’s report, the statement of financial financial statements are free from material Reporting Standards, and in the manner required position as at 31 March 2010, the statement of misstatement. by the Architectural Profession Act No 44 of comprehensive income, the statement of changes 2000. An audit involves performing procedures to in funds and statement of cash flows for the year obtain audit evidence about the amounts and Accounting and secretarial duties then ended, a summary of significant accounting disclosures in the combined annual financial policies and other explanatory notes, as set out Without qualifying our opinion, we draw your statements. The procedures selected depend on on pages 76 - 100. attention to the fact that with the written consent the auditors’ judgement, including the of council, we have performed certain Councils’ responsibility for the financial assessment of the risks of material misstatement accounting and secretarial duties. statements of the combined annual financial statements, whether due to fraud or error. In making those Supplementary Information Council is responsible for the preparation and risk assessments, the auditor considers internal fair presentation of these combined annual Without qualifying our opinion, we draw your control relevant to the entity’s preparation and financial statements in accordance with attention to the fact that the supplementary fair presentation of the combined annual International Financial Reporting Standards, and information set out on pages 101 to 102 does financial statements in order to design audit in the manner required by the Architectural not form part of the combined annual financial procedures that are appropriate in the Profession Act No 44 of 2000. This statements and is presented as additional circumstances, but not for the purpose of responsibility includes: designing, implementing information. We have not audited this expressing an opinion on the effectiveness of the and maintaining internal control relevant to the information and accordingly do not express an entity’s internal control. An audit also includes preparation and fair presentation of combined opinion thereon. evaluating the appropriateness of accounting annual financial statements that are free from policies used and the reasonableness of material misstatement, whether due to fraud or accounting estimates made by the directors, as error; selecting and applying appropriate well as evaluating the overall presentation of the SizweNtsaluba ES Inc accounting policies; and making accounting combined annual financial statements. Registered Auditors estimates that are reasonable in the Per: Cilliers van ZyI circumstances. We believe that the audit evidence we have Pretoria obtained is sufficient and appropriate to provide a basis for our audit opinion. 21 August 2010 75 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
COUNCIL’S RESPONSIBILITIES AND APPROVAL
Council is required by the Architectural ethical standards in ensuring the Council’s The combined annual financial statements set out Profession Act, 2000, to maintain adequate business is conducted in a manner that in all on pages 77 to 100, which have been prepared accounting records and is responsible for the reasonable circumstances is above reproach. on the going concern basis, were approved by content and integrity of the combined annual The focus of risk management in the Council is the council on 21 August 2010 and were signed financial statements and related financial on identifying, assessing, managing and on behalf by: information included in this report. It is their monitoring all known forms of risk across the
responsibility to ensure that the combined annual Council. While operating risk cannot be fully
financial statements fairly present the state of eliminated, the group endeavours to minimise it
affairs of the council as at the end of the by ensuring that appropriate infrastructure, financial year and the results of its operations controls, systems and ethical behaviour are and cash flows for the period then ended, in applied and managed within predetermined conformity with the external auditors are procedures and constraints. engaged to express an independent opinion on Mr P Mashabane – Chairperson Council is of the opinion, based on the the combined annual financial statements. information and explanations given by The combined annual financial statements are management, that the system of internal control prepared in accordance with and are based provides reasonable assurance that the financial upon appropriate accounting policies records may be relied on for the preparation of consistently applied and supported by the combined annual financial statements. reasonable and prudent judgements and However, any system of internal financial control
estimates. can provide only reasonable, and not absolute, Ms D Brislin - Registrar assurance against material misstatement or loss. Council acknowledges that it is ultimately responsible for the system of internal financial Council have reviewed the council’s cash flow control established by council and places forecast for the year to 31 March 2011 considerable importance on maintaining a and, in the light of this review and the current strong control environment. To enable Council to financial position, they are satisfied that the meet these responsibilities, Council sets council has or has access to adequate resources standards for internal control aimed at reducing to continue in operational existence for the Ms A Houston - Treasurer the risk of error or loss in a cost effective manner. foreseeable future. The standards include the proper delegation of The external auditors are responsible for responsibilities within a clearly defined independently reviewing and reporting on the framework, effective accounting procedures and entity’s combined annual financial statements. adequate segregation of duties to ensure an The combined annual financial statements have acceptable level of risk. These controls are been examined by the Council’s external monitored throughout the Council and all auditors and their report is presented on page employees are required to maintain the highest 75. 76 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
REGISTRAR’S REPORT
The Registrar submitted her report for the year The operating results and state of affairs of the ended 31 March 2010. entity are fully set out in the attached combined annual financial statements and do not in my 1. REVIEW OF ACTIVITIES opinion require any further comment. Main business and operations Net deficit of the entity was The entity is a statutory body that regulates the R2,643,757 (2009: R2,170,728 deficit). architectural profession in South Africa and 2. GOING CONCERN operates principally in South Africa. The combined annual financial statements have The South African Council for the Architectural been prepared on the basis of accounting Profession (“the Entity”) is a regulatory body that policies applicable to a going concern. This was established by the Architectural Profession basis presumes that funds will be available to Act No 44 of 2000 which was published on finance future operations and that the realisation 1 December 2000 and came into effect on of assets and settlement of liabilities, contingent 26 January 2001. obligations and commitments will occur in the The mission is to make a positive impact on the ordinary course of operations. built environment by ensuring excellence in 3. EVENTS SUBSEQUENT TO YEAR-END performance and service delivery by fostering collaborative relationships with role players in The Council Members are not aware of any order to: matter or circumstance arising since the end of the financial year. • Effectively regulate the architectural profession; • Ensure proactive public protection; • Develop a quality, sustainable and professional skills base; • Ensure good governance within SACAP; • Promote the role of architectural profession in transformation; • Create a legacy of humane and sustainable architecture. The South African Council for the Architectural Profession is tasked with making the major decisions within the organisation. Council members have a term of four years.
77 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
4. COUNCIL MEMBERS 5. AUDITORS The members of the Council during the year and to the date of this report are as follows: SizweNtsaluba ES Inc will continue in office for the next financial period. Name Nationality Changes 6. REGISTERED ADDRESS Mr P Mashabane – President South African Appointed 1 October 2009 1st Floor, Lakeside Place Ms P Scott – Vice President South African Reappointed 1 October 2009 Cnr Ernest Oppenheimer and Queen Street Ms A Houston – Treasurer South African Appointed 1 October 2009 Bruma Mr F Motsepe South African Appointed 1 October 2009 2026 Prof G Steyn South African Re-appointed 1 October 2009 7. ANNUAL FINANCIAL STATEMENTS Mr P Crafford South African Re-appointed 1 October 2009 The annual financial statements are classified as Ms M Nienaber South African Appointed 1 October 2009 follows: Ms M Gerrans South African Appointed 1 October 2009 Combined: South African Council for the Mr V Mthimunye South African Appointed 1 October 2009 Architectural Profession including the balances and transactions of SACAP Education Fund is Mr R Ruiters South African Appointed 1 October 2009 categorised as “Combined”. Mr D Basdew South African Appointed 1 October 2009 Council: South African Council for the Mr M Campbell – President South African Term ended 30 September 2009 Architectural Profession excluding the balances Mr K Moleko – Vice President South African Term ended 30 September 2009 and transactions of the SACAP Education Fund is Mr S Njobe – Treasurer South African Term ended 30 September 2009 categorised as “Council”. Mr J Barnard South African Term ended 30 September 2009 Ms P Emmett South African Term ended 30 September 2009 Mr R Naicker South African Term ended 30 September 2009 Mr T Mthethwa South African Term ended 30 September 2009
78 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
STATEMENT OF FINANCIAL POSITION
Combined Council Figures in Rand Notes 2010 2009 2010 2009 ASSETS NON-CURRENT ASSETS Investment property 3 - 3,200,000 - 3,200,000 Property, plant and equipment 4 1,610,525 1,122,961 1,610,525 1,122,961 1,610,525 4,322,961 1,610,525 4,322,961
CURRENT ASSETS Other financial assets 5 8,528,723 7,131,222 5,759,756 4,525,661 Trade and other receivables 6 1,205,289 728,369 1,276,087 728,369 Cash and cash equivalents 7 863,573 1,244,012 280,207 91,634 10,597,585 9,103,603 7,316,050 5,345,664 Total assets 12,208,110 13,426,564 8,926,575 9,668,625
EQUITY AND LIABILITIES EQUITY Retained income 8,283,759 10,927,516 4,901,180 7,068,533
LIABILITIES NON-CURRENT LIABILITIES Finance lease obligation 8 491,410 256,808 491,410 256,808 CURRENT LIABILITIES Finance lease obligation 8 130,498 54,994 130,498 54,994 Trade and other payables 9 3,302,443 2,187,246 3,403,487 2,288,290 3,432,941 2,242,240 3,533,985 2,343,284 Total liabilities 3,924,351 2,499,048 4,025,395 2,600,092 Total equity and liabilities 12,208,110 13,426,564 8,926,575 9,668,625
79 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
STATEMENT OF COMPREHENSIVE INCOME
Combined Council Figures in Rand Notes 2010 2009 2010 2009
Revenue 10 16,642,860 10,217,680 16,642,860 10,217,680 Other income 288,575 257,299 288,575 257,299 Operating expenses (20,100,731) (15,077,366) (19,429,274) (15,076,961) Operating deficit 11 (3,169,296) (4,602,387) (2,497,839) (4,601,982) Investment revenue 12 631,272 1,033,880 436,219 684,435 Fair value adjustments 13 – 1,614,739 – 1,614,739 Finance costs 14 (105,733) (216,960) (105,733) (216,960) Deficit for the year (2,643,757) (2,170,728) (2,167,353) (2,519,768) Other comprehensive income – – – – Total comprehensive deficit (2,643,757) (2,170,728) (2,167,353) (2,519,768)
80 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
STATEMENT OF CHANGES IN FUNDS
Figures in Rand Retained Total funds Income
Combined Balance at 01 April 2008 13, 098,244 13,098,244 Changes in funds Total comprehensive deficit for the year (2,170,728) (2,1 70,728) Total changes (2,170,728) (2,170,728) Balance at 01 April 2009 10, 927, 516 10,927, 516 Changes in funds Total comprehensive deficit for the year (2,643,757) (2,643,757) Total changes (2,643,757) (2,643,757) Balance at 31 March 2010 8,283,759 8,283,759
Council Balance at 01 April 2008 9,588,301 9,588,301 Changes in funds Total comprehensive deficit for the year (2,519,768) (2, 519,768) Total changes (2,519,768) (2,519,768) Balance at 01 April 2009 7,068,533 7,068,533 Changes in funds Total comprehensive deficit for the year (2,167,353) (2, 167,353) Total changes (2,167,353) (2,167,353) Balance at 31 March 2010 4,901,180 4,901,180
81 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
STATEMENT OF CASH FLOWS
Combined Council Figures in Rand Notes 2010 2009 2010 2009
CASH FLOWS FROM OPERATING ACTIVITIES Cash utilised in operations 16 (2,157,092) (4,315,119) (1,556,433) (4,314,715) Interest income 631,272 1,033,880 436,219 684,435 Finance costs (10,909) (187,654) (10,909) (187,654) Net cash from operating activities (1,536,729) (3,468,893) (1,131,123) (3,817,934)
CASH FLOWS FROM INVESTING ACTIVITIES Purchase of property, plant and equipment 4 (861,491) (863,825) (861,491) (863,825) Sale of property, plant and equipment 4 - (119,377) - (119,377) Sale of investment property 3 3,200,000 - 3,200,000 - Purchase of financial assets (1,397,501) - (1,234,095) - Sale of financial assets 1,564,544 - 1,818,140 Net cash from Investing activities 941,008 581,342 1,104,414 834,938
CASH FLOWS FROM FINANCING ACTIVITIES Finance lease payments 215,282 282,496 215,282 282,496
Total cash movement for the year (380,439) (2,605,055) 188,573 (2,700,500) Cash at the beginning of the year 1,244,012 3,849,067 91,634 2,792,134 Total cash at end of the year 7 863,573 1,244,012 280,207 91,634
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ACCOUNTING POLICIES
1. PRESENTATION OF COMBINED flows from a financial asset. Any increase in an asset’s carrying amount, as a ANNUAL FINANCIAL STATEMENTS result of a revaluation, is recognised to other Taxation comprehensive income and accumulated in the The combined annual financial statements have The receipts and accruals to the entity are exempt revaluation surplus in equity. The increase is been prepared in accordance with International from income tax in terms of the provisions of recognised in profit or loss to the extent that it Financial Reporting Standards, and the Section 10(1)(cA)(i) of the Income Tax Act. reverses a revaluation decrease of the same asset Architectural Profession Act No 44 of 2000. The previously recognised in profit or loss. combined annual financial statements have been prepared on the historical cost basis, except Any decrease in an asset’s carrying amount, as a 1.2 Property, plant and equipment where otherwise indicated, and incorporate the result of a revaluation, is recognised in profit or principal accounting policies set out below. The cost of an item of property, plant and loss in the current period. equipment is recognised as an asset when: These accounting policies are consistent with the The decrease is recognised in other previous period. • it is probable that future economic benefits comprehensive income to the extent of any credit associated with the item will flow to the balance existing in the revaluation surplus in company; and respect of that asset. The decrease recognised in 1.1 Significant judgements other comprehensive income reduces the amount • the cost of the item can be measured reliably. accumulated in the revaluation surplus in equity. In preparing the combined annual financial Property, plant and equipment is initially statements, management is required to make Property, plant and equipment is carried at cost measured at cost. estimates and assumptions that affect the amounts less accumulated depreciation and any represented in the combined annual financial Costs include costs incurred initially to acquire or impairment losses. statements and related disclosures. Use of construct an item of property, plant and Item Average useful life available information and the application of equipment and costs incurred subsequently to judgement is inherent in the formation of add to, replace part of, or service it. If a Furniture and fixtures 10 years estimates. Actual results in the future could differ replacement cost is recognised in the carrying Motor vehicles 7 years from these estimates which may be material to amount of an item of property, plant and the combined annual financial statements. equipment, the carrying amount of the replaced Office equipment 5 years Significant judgements include: part is derecognised. IT equipment 3 years Trade receivables Property, plant and equipment is carried at cost Computer software 3 years less accumulated depreciation and any The entity assesses its trade receivables for impairment losses. The residual value, useful life and depreciation impairment at each reporting date. In method of each asset are reviewed at the end of determining whether an impairment loss should Revaluations are made with sufficient regularity each reporting period. be recorded in the statement of comprehensive such that the carrying amount does not differ income, the Council makes judgements as to materially from that which would be determined The depreciation charge for each period is whether there is observable data indicating a using fair value at the end of the reporting recognised in profit or loss unless it is included in measurable decrease in the estimated future cash period. the carrying amount of another asset. 83 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
ACCOUNTING POLICIES (CONTINUED)
The gain or loss arising from the derecognition of interest rate method. Appropriate allowances for highly liquid investments that are readily an item of property, plant and equipment is estimated irrecoverable amounts are recognised convertible to a known amount of cash and are included in profit or loss when the item is in profit or loss when there is objective evidence subject to an insignificant risk of changes in derecognised. The gain or loss arising from the that the asset is impaired. Significant financial value. Cash and cash equivalents are classified derecognition of an item of property, plant and difficulties of the debtor, probability that the as available for sale financial assets. equipment is determined as the difference debtor will enter bankruptcy or financial between the net disposal proceeds, if any, and reorganisation, and default or delinquency in the carrying amount of the item. payments (more than 30 days overdue) are 1.4 Leases considered indicators that the trade receivable is A lease is classified as a finance lease if it impaired. The allowance recognised is measured transfers substantially all the risks and rewards 1.3 Financial instruments as the difference between the asset’s carrying incidental to ownership. A lease is classified as amount and the present value of estimated future Initial recognition and measurement an operating lease if it does not transfer cash flows discounted at the effective interest rate substantially all the risks and rewards incidental Financial instruments are recognised initially computed at initial recognition. to ownership. when the entity becomes a party to the The carrying amount of the asset is reduced contractual provisions of the instruments. Finance leases – lessee through the use of an allowance account, and the The entity classifies financial instruments, or their amount of the loss is recognised in the income Assets held under finance leases are initially component parts, on initial recognition as a statement within operating expenses. When a recognised as assets of the entity at their fair financial asset, a financial liability or an equity trade receivable is uncollectible, it is written off value at the inception of the lease or, if lower, the instrument in accordance with the substance of against the allowance account for trade present value of the minimum lease payments. the contractual arrangement. receivables. Subsequent recoveries of amounts The corresponding liability to the lessor is previously written off are credited against included in the statement of financial position as Financial instruments are measured initially at fair operating expenses in the income statement. a finance lease obligation. value, except for equity investments for which a fair value is not determinable, which are Trade and other receivables are classified as The discount rate used in calculating the present measured at cost and are classified as available loans and receivables. value of the minimum lease payments is the for sale financial assets. interest rate implicit in the lease. Trade and other payables For financial instruments which are not at fair The lease payments are apportioned between the Trade payables are initially measured at fair value through profit or loss, transaction costs are finance charge and reduction of the outstanding value, and are subsequently measured at included in the initial measurement of the liability.The finance charge is allocated to each amortised cost, using the effective interest rate instrument. period during the lease term so as to produce a method. constant periodic rate of on the remaining Trade and other receivables Cash and cash equivalents balance of the liability. Trade receivables are measured at initial Cash and cash equivalents comprise cash on recognition at fair value, and are subsequently hand, demand deposits, and other short-term measured at amortised cost using the effective 84 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
ACCOUNTING POLICIES (CONTINUED)
Operating leases – lessee The increased carrying amount of an asset other 1.7 Provisions and contingencies than goodwill attributable to a reversal of an Operating lease payments are recognised as an Provisions are recognised when: impairment loss does not exceed the carrying expense on a straight-line basis over the lease amount that would have been determined had no • the entity has a present obligation as a result of term. The difference between the amounts impairment loss been recognised for the asset in a past event; recognised as an expense and the contractual prior periods. payments are recognised as an operating lease • it is probable that an outflow of resources asset or liability. This liability is not discounted. A reversal of an impairment loss of assets carried embodying economic benefits will be required at cost less accumulated depreciation or to settle the obligation; and amortisation other than goodwill is recognised • a reliable estimate can be made of the 1.5 Impairment of assets immediately in profit or loss. Any reversal of an obligation. impairment loss of a revalued asset is treated as a The entity assesses at each reporting date whether revaluation increase. The amount of a provision is the best estimate of there is any indication that an asset may be the expenditure required to settle the present impaired. If any such indication exists, the entity obligation at the end of the reporting period. estimates the recoverable amount of the asset. 1.6 Employee benefits Where some or all of the expenditure required to The recoverable amount of an asset or a cash- Short-term employee benefits settle a provision is expected to be reimbursed by generating unit is the higher of its fair value less another party, the reimbursement is recognised costs to sell and its value in use. The cost of short-term employee benefits, (those when, and only when, it is virtually certain that payable within 12 months after the service is If the recoverable amount of an asset is less than reimbursement will be received if the entity settles rendered, such as paid vacation leave and sick its carrying amount, the carrying amount of the the obligation. The reimbursement is treated as a leave, bonuses, and non-monetary benefits such asset is reduced to its recoverable amount. That separate asset. The amount recognised for the as medical care), are recognised in the period in reduction is an impairment loss. reimbursement does not exceed the amount of the which the service is rendered and are not provision. An impairment loss of assets carried at cost less discounted. any accumulated depreciation or amortisation is Provisions are not recognised for future operating The expected cost of compensated absences is recognised immediately in profit or loss. Any losses. recognised as an expense as the employees impairment loss of a revalued asset is treated as a render services that increase their entitlement or, If an entity has a contract that is onerous, the revaluation decrease. in the case of non-accumulating absences, when present obligation under the contract is The entity assesses at each reporting date whether the absence occurs. recognised and measured as a provision. there is any indication that an impairment loss Defined contribution plans recognised in prior periods for assets other than goodwill may no longer exist or may have Payments to defined contribution retirement decreased. If any such indication exists, the benefit plans are charged as an expense as they recoverable amounts of those assets are fall due. estimated.
85 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
ACCOUNTING POLICIES (CONTINUED)
A constructive obligation to restructure arises 1.8 Revenue Amendment to IAS 39 and IFRS 7: only when an entity: Reclassification of Financial Assets Revenue is measured at the fair value of the • has a detailed formal plan for the restructuring, consideration received or receivable and The amendment permits the entity to reclassify identifying at least: represents the amounts receivable for services certain financial assets out if the fair value provided in the normal course of business, net of through profit and loss category if certain - the business or part of a business trade discounts and volume rebates, and value stringent conditions are met. It also permits an concerned, added tax. entity to transfer from the available for sale - the principal locations affected, category to loans and receivables under certain circumstances. Additional disclosures are - the location, function, and approximate required in the event of any of these number of employees who will be reclassifications. compensated for terminating their services, The effective date of the amendment is for years - the expenditures that will be undertaken, NOTES beginning on or after 01 July 2009. and 2. NEW STANDARDS AND The entity expects to adopt the amendment for - when the plan will be implemented INTERPRETATIONS the first time in the 2011 annual financial • has raised a valid expectation in those 2.1 Standards and interpretations statements. affected that it will carry out the restructuring effective and adopted in the current It is unlikely that the amendment will have a by starting to implement that plan or year material impact on the entity’s annual financial announcing its main features to those affected In the current year, the entity has not adopted statements. by it. any effective standards and interpretations as After their initial recognition contingent liabilities none are relevant to its operations. recognised in business combinations that are 2.2 STANDARDS AND INTERPRETATIONS recognised separately are subsequently EARLY ADOPTED measured at the higher of: The entity has not chosen to early adopt any • the amount that would be recognised as a standards and interpretations. provision; and 2.3 STANDARDS AND INTERPRETATIONS • the amount initially recognised less cumulative NOT YET EFFECTIVE amortisation. The entity has chosen not to early adopt the Contingent assets and contingent liabilities are following standards and interpretations, which not recognised. Contingencies are disclosed in have been published and are mandatory for the note 18. entity’s accounting periods beginning on or after 01 April 2010 or later periods:
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NOTES (CONTINUED) 3. INVESTMENT PROPERTY
2010 2009 Cost / Accumulated Carrying value Cost / Accumulated Carrying value Combined Valuation depreciation Valuation depreciation Investment property - - - 3,200,000 - 3,200,000
Council Investment property - - - 3,200,000 - 3,200,000
Reconciliation of investment property – Combined – 2010 Opening Disposals Total Balance Investment property 3,200,000 (3,200,000) -
Reconciliation of investment property – Combined – 2009 Opening Transfers Fair value Total Balance adjustments Investment property - 1,585,261 1 ,614,739 3,200,000
Reconciliation of investment property – Council – 2010 Opening Disposals Total Balance Investment property 3,200,000 (3,200,000) -
Reconciliation of investment property - Council – 2009 Opening Transfers Fair value Total Balance adjustments Investment property - 1,585,261 1 ,614,739 3,200,000
Details of property Combined Council 2010 2009 2010 2009 Erf 3614, portion 7, Randpark Ridge Ext 52 - Transfer from property, plant and equipment 1,585,261 1,585,261 1,585,261 1,585,261 - Fair value adjustments 1,614,739 1,614,739 1,614,739 1,614,739 - Sale of investment property (3,200,000) - (3,200,000) - - 3,200,000 3,200,000 87 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
NOTES (CONTINUED)
4. PROPERTY, PLANT AND EQUIPMENT
Combined 2010 2009 Cost / Accumulated Carrying Cost / Accumulated Carrying Valuation depreciation value Valuation depreciation value Buildings – – – – – – Furniture and fixtures 619,756 (124,012) 495,744 435,162 (77,132) 358,030 Motor vehicles 131,300 (59,085) 72,215 131,300 (39,390) 91,910 Office equipment 941,748 (176,185) 765,563 412,327 (61,351) 350,976 IT equipment 753,912 (559,591) 194,321 642,943 (396,181) 246,762 Leasehold improvements 113,557 (30,875) 82,682 77,056 (1,773) 75,283 Total 2,560,273 (949,748) 1,610,525 1,698,788 (575,827) 1,122,961
Council 2010 2009 Cost / Accumulated Carrying Cost / Accumulated Carrying Valuation depreciation value Valuation depreciation value Buildings – – – – – – Furniture and fixtures 619,756 (124,012) 495,744 435,162 (77,132) 358,030 Motor vehicles 131,300 (59,085) 72,215 131,300 (39,390) 91,910 Office equipment 941,748 (176,185) 765,563 412,327 (61,351) 350,976 IT equipment 753,912 (559,591) 194,321 642,943 (396,181) 246,762 Leasehold improvements 113,557 (30,875) 82,682 77,056 (1,773) 75,283 Total 2,560, 273 (949,748) 1,610,525 1,698,788 (575,827) 1,122,961
88 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
NOTES (CONTINUED)
Reconciliation of property, plant and equipment - Combined - 2010
Opening Additions Depreciation Total Balance Furniture and fixtures 358,030 186,230 (48,516) 495,744 Motor vehicles 91,910 – (19,695) 72,215 Office equipment 350,976 529,420 (114,833) 765,563 IT equipment 246,762 110,840 (163,281) 194,321 Leasehold improvements 75,283 35,001 (27,602) 82,682 1,122,961 861,491 (373,927) 1,610,525
Reconciliation of property, plant and equipment - Combined - 2009
Opening Additions Disposals Transfers Depreciation Total Balance Buildings 1,585,261 – – (1,585,261) – – Furniture and fixtures 160,632 250,575 (15,009) – (38,168) 358,030 Motor vehicles 111,605 – – – (19,695) 91,910 Office equipment 15,849 390,790 – – (55,663) 350,976
IT equipment 230,625 145,404 (3,524) – (125,743) 246,762
Leasehold improvements – 77,056 – – (1,773) 75,283 2,103,972 863,825 (18,533) (1,585,261) (241,042) 1,122,961
89 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
NOTES (CONTINUED)
4. PROPERTY, PLANT AND EQUIPMENT (continued) Reconciliation of property, plant and equipment - Council - 2010
Opening Additions Depreciation Total Balance Furniture and fixtures 358,030 186,230 (48,516) 495,744 Motor vehicles 91,910 – (19,695) 72,215 Office equipment 350,976 529,420 (114,833) 765,563 IT equipment 246,762 110,840 (163,281) 194,321 Leasehold improvements 75,283 35,001 (27,602) 82,682 1,122,961 861,491 (373,927) 1,610,525
Reconciliation of property, plant and equipment - Council - 2009
Opening Additions Disposals Transfers Depreciation Total Balance Buildings 1,585,261 – – (1,585,261) – – Furniture and fixtures 160,632 250,575 (15,009) – (38,168) 358,030 Motor vehicles 111,605 – – – (19,695) 91,910 Office equipment 15,849 390,790 – – (55,663) 350,976 IT equipment 230,625 145,404 (3,524) – (125,743) 246,762 Leasehold improvements – 77,056 – – (1,773) 75,283 2,103, 972 863,825 (18,533) (1,585,261) (241,042) 1,122,961
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NOTES (CONTINUED)
Property, plant and equipment - beginning Council - 2009
Cost / Accumulated Carrying value Valuation depreciation Buildings 1,585,261 - 1,585,261 Furniture and fixtures 182,522 (21,890) 160,632 Motor vehicles 131,300 (19,695) 111,605 Office equipment 20,163 (4,314) 15,849 IT equipment 310,537 (79,912) 230,625 2,229,783 (125,811) 2,103,972
Assets subject to finance lease (Net carrying amount)
Combined Council 2010 2009 2010 2009 Office equipment 599,755 300,353 599,755 300,353 Leasehold improvements 82,682 75,283 82,682 75,283 682,437 375,636 682,437 375,636
91 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
NOTES (CONTINUED)
5. OTHER FINANCIAL ASSETS
Combined Council Figures in Rand 2010 2009 2010 2009 Investments First National Bank 32-day notice account 5,759,756 4,525,661 5,759,756 4,525,661 Nedbank 32-day ntc dep @ 9.85% 206,741 193,351 - - Nedbank Call @ 7.75% 821,303 776,079 - - investec 32 day notice (prime linked) 539,180 505,710 - - Nedbank 32-day ntc dep @ 9.85% 662,320 619,424 - - Nedbank Call Deposit 539,423 510,997 - - 8,528,723 7,131,222 5,759,756 4,525,661
Current assets Available for sale 8,528,723 7,131,222 5,759,756 4,525,661 Fair values of investments reflects the approximate fair value at year end, There were no gains or losses realised on the disposal of held to maturity financial assets in 2010 and 2009, as all the financial assets were disposed of at their redemption date.
6. TRADE AND OTHER RECEIVABLES
Trade receivables 320,955 26,453 320,955 26,453 Travel allowances in advance 8,133 16,933 8,133 16,933 Prepayments 10,809 7,112 10,809 7,112 VAT 865,392 677,871 865,392 677,871 SACAP Education Fund - - 70,798 - 1,205,289 728,369 1,276,087 728,369 The carrying value of trade and other receivables reflects the approximate fair value at year-end.
92 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
NOTES (CONTINUED)
Trade and other receivables Impaired According to to Section 20(1)(a)(iii) of the Architectural Professions Act no 44, 2000, registered persons who fail to pay the prescribed annual fee or portion thereof, within 60 days from it becoming due or within such further period as the Council may allow, either before or after the expiry of the 60 days, will be removed as a registered person. As per Council’s discretion, trade receivables that are older than12 months are considered to be overdue. As of 31 March 2010, trade and other receivables of R2,237,445 (2009: R83,425) were impaired and provided for. The amount of the provision inclusive of VAT amounted to R(2,237,445) as of 31 March 2010 (2009: R83,425). The ageing of these trade receivables provided for is as follows:
Older than 12 months 2,237,445 83,425 2,237,445 83,425
7. CASH AND CASH EQUIVALENTS
Cash and cash equivalents consist of: Cash on hand 3,281 2,006 3,281 2,006 Bank balances 860,292 1,242,006, 276,926 89,628 863,573 1,244,012 280,207 91,634 Bank balances earn interest at a floating rate based on a daily bank deposit rate.
93 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
NOTES (CONTINUED) 8. FINANCE LEASE OBLIGATION
Combined Council Figures in Rand 2010 2009 2010 2009 Minimum lease payments due - within one year 198,490 96,840 198,490 96,840 - in second to fifth year inclusive 591,445 315,570 591,445 315,570 789,935 412,410 789,935 412,410 less: future finance charges (168,027) (100,608) (168,027) (100,608) Present value of minimum lease payments 621,908 311,802 621,908 311,802
Present value of minimum lease payments due - within one year 130,498 54,994 130,498 54,994 - in second to fifth year inclusive 491,410 256,808 491,410 256,808 621,908 311,802 621,908 311,802
Non-current liabilities 491,410 256,808 491,410 256,808 Current liabilities 130,498 54,994 130,498 54,994 621,908 311,802 621,908 311,802 NEFCO SACAP entered into an agreement with NEFCO for a copier (Canon 2880i). The rental agreement is for a period of 60 months with monthly instalments of R3 185 and an escalation of 15% per annum. The monthly instalments, payable in advance, commenced on 28 February 2008. SAPOR SACAP entered into an agreement with SAPOR for a copier (Sagem 6590N). The rental agreement is for a period of 60 months with monthly instalments of R675 and an escalation of 0% per annum. The monthly instalments, payable in advance, commenced on 30 August 2006. ABSA SACAP entered into an agreement with ABSA for a copier (Toshiba 2820c). The rental agreement is for a period of 60 months with monthly instalments of R 2 300 and an escalation of 15% per annum. The monthly instalments, payable in advance commenced on 1 April 2009. CANON BUSINESS CENTRE SACAP entered into an agreement with Canon Business Centre for a copier (HP Edgeline CM8050). The rental agreement is for a period of 60 months with monthly instalments of R 8 470,80 and an escalation of 0% per annum. The monthly instalments, payable in advance commenced on 1 December 2009. 94 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
NOTES (CONTINUED) 9. TRADE AND OTHER PAYABLES
Combined Council 2010 2009 2010 2009 Trade payables 1,440,883 1,782,837 1,440,882 1,782,836 VAT 61,449 61,449 – – VAT on property transfer 192,000 – 192,000 – Accrued leave pay 191,569 165,236 191,569 165,236 Accrued bonus 172,859 78,334 172,859 78,334 SACAP Education Fund – – 162,494 162,494 Payroll accruals 141,248 99,390 141,248 99,390 Unallocated receipts 1,102,435 – 1,102,435 – 3,302,443 2,187,246 3,403,487 2,288,290
10. REVENUE
Combined Council Figures In Rand 2010 2009 2010 2009 Annual fees 15,136,051 9,095,337 15,136,051 9,095,337 Exam fees 457,293 293,399 457,293 293,399 Registration fees 1,049,516 828,944 1,049,516 828,944 16,642,860 10,217,680 16,642,860 10,217,680 Registrations are cancelled where the registered persons do not pay their fees within the prescribed time. When such a person wants to re-register, the prior years’ outstanding fees must be settled first. These fees are then recognised in the year in which they are received.
95 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
NOTES (CONTINUED) 11. OPERATING DEFICIT Operating deficit for the year is stated after accounting for the following:
Combined Council 2010 2009 2010 2009 Operating lease charges Lease rentals on operating lease - Buildings Contractual amounts 567,438 398,964 567,438 398,964
Loss on sale of property, plant and equipment – (137,910) – (137,910) Impairment on trade and other receivables 192,000 _ 192,000 – Depreciation on property, plant and equipment 373,921 241,042 373,921 241,042 Employee costs 7,110,374 3,970,692 7,110, 374 3,970,692
12. INVESTMENT REVENUE
Interest revenue Bank 631,272 1,033,880 436,219 684,435
The following Is an analysis of Investment revenue earned per financial asset category: Available-for-sale financial assets 631,272 1,033,880 436,219 684,435 Loans and receivables – – – – Held-to-maturity investments – – – – Total interest income for financial assets not 631,272 1,033,880 436,219 684,435 designated as at fair value through profit or loss Investment income earned on non-financial assets – – – – 631,272 1,033,880 436,219 684,435
13. FAIR VALUE ADJUSTMENTS
Investment property (Fair value model) – 1,614,739 – 1,614,739
96 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
NOTES (CONTINUED)
14. FINANCE COSTS
Combined Council Figures in Rand 2010 2009 2010 2009 Finance leases 94,824 29,306 94,824 29,306 Late payment of VAT 9,906 183,044 9,906 183,044 Suppliers 1,003 4,610 1,003 4,610 105,733 216,960 105,733 216,960
15. AUDITORS’ REMUNERATION
Fees 178,840 240,673 178,840 240,673
16. CASH UTILISED IN OPERATIONS
Deficit for the year (2,643,757) (2,170,728) (2,167,353) (2,519,768) Adjustments for: Depreciation and amortisation 373,921 241,042 373,921 241,042 Loss on sale of assets – 137,910 – 137,910 Interest received (631,272) (1,033,880) (436,219) (684,435) Finance costs 105,733 216,960 105,733 216,960 Fair value adjustments – (1,614,739) – (1,614,739) Impairment loss 192,000 – 192,000 – Changes in working capital: Trade and other receivables (668,914) (290,073) (739,718) (452,567) Trade and other payables 1,1 15,197 198,389 1,115,203 360,882 (2,157,092) (4,315,119) (1,556,433) (4,314,715)
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NOTES (CONTINUED)
17. COMMITMENTS
Combined Council 2010 2009 2010 2009 Operating leases - as lessee (expense) Minimum lease payments due - within one year 695,177 536,545 695,177 536,545 - in second to fifth year inclusive 207,246 676,416 207,246 676,416 902,423 1,212,961 902,423 1,212,961 Operating lease payments represent rentals payable by the entity for certain of its office properties. Leases are negotiated for an average term of three years and rentals will escalate annually by an average of 9.5%.
18. CONTINGENCIES The Council currently has a possible claim of R 1,3 million against it by one of its suppliers for alleged breach of contract. The supplier was engaged by management to set up a contact centre for SACAP. It is the view of SACAP’s attorneys that the claim for alleged breach of contract and damages is without merit and that should the supplier institute a claim out of the High Court, the claim ought to be dismissed. The anticipated legal fees and disbursements is approximated to be R 400 000.
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NOTES (CONTINUED)
19. RELATED PARTIES Relationships Members of key management Ms D Brislin – Registrar Mr S Moyo – Chief Financial Officer Ms D Le Roux – Chief Operating Officer Executive authority Department of Public Works Governing body Refer to point 4 of the Registrar’s report for details on Council Members Fund under control of Council Education Fund of the SA Council for the Architectural Profession Relationship governed by law Council for the Built Environment Council 2010 2009 Related party balances Amounts included In Trade receivable (Trade payable) regarding related parties Council for the Built Environment (356,337) (398,472) Education Fund of the SA Council for the Architectural Profession 70,798 –
Provision for doubtful debts related to the amount of outstanding balances None
Related party transactions Included in operating expenses Education Fund of the SA Council for the Architectural Profession 842,284 705,800 Council for the Built Environment 356,337 398,472
Compensation to Council Members and Executive management Basic salaries 1,878,972 701,167 Allowances – 18,000 Council contributions 337,787 128,460 Bonus 117,602 – 2,334,361 847,627 99 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
NOTES (CONTINUED) 20. RISK MANAGEMENT Capital risk management Council’s objectives when managing capital are to safeguard the entity’s ability to continue as a going concern. The capital structure of the entity consists of cash and cash equivalents, disclosed in note 7, and accumulated funds as disclosed in the statement of financial position, Financial risk management The entity’s activities expose it to cash flow interest rate risk and liquidity risk. Liquidity risk Prudent liquidity risk management implies maintaining sufficient cash and the availability of funding through an adequate amount of cash available to perform its duties. The entity’s risk to liquidity is a result of the funds available to cover future commitments. The entity manages liquidity risk through an ongoing review of future commitments and credit facilities. Cash flow forecasts are prepared and the amount of cash available are monitored. Interest rate risk The entity has significant interest-bearing assets, that causes the entity’s income and operating cash flows to be substantially dependent of changes in market interest rates. The following table demonstrates the sensitivity to a reasonable possible change in interest rates, with all other variables held constant of the council’s profit before tax. Interest rate risk table
Increase / Effect on profit Effect on equity (decrease) in before tax base points South African Rand 1 % 79,068 79,068 South African Rand (1%) (79,068) (79,068) Credit risk Credit risk consists mainly of cash deposits and trade debtors. The entity only deposits cash with major banks with high quality credit standing and limits exposure to any one counterparty. Receivables comprise of annual fees owed by registered persons in terms of the Architectural Professions Act no 44 of 2000. Receivables comprise of a wide spread registered person’s base. Receivables are monitored for impairment on an ongoing basis. Non payment by registered persons result in deregistration, in which event outstanding fees are provided for as bad debt.
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DETAILED INCOME STATEMENT
Combined Council Figures In Rand Note(s) 2010 2009 2010 2009 REVENUE Annual fees 15,136,051 9,095,337 15,136,051 9,095,337 Exam fees 457,293 293,399 457,293 293,399 Registration fees 1,049,516 828,944 1,049,516 828,944 10 16,642, 860 10,217, 680 16, 642,860 10,217, 680 OTHER INCOME Rental income 176,000 – 176,000 – Other income 112,575 257,299 112,575 257,299 Interest received 12 631,272 1,033,880 436,219 684,435 Fair value adjustments 13 – 1,614,739 – 1,614,739 919,847 2,905,918 724,794 2,556,473
Expenses (Refer to page 102) (20,100,731) (15,077,366) (19,429,274) (15,076,961) Operating deficit 11 (2,538,024) (1,953,768) (2,061,620) (2,302,808) Finance costs 14 (105,733) (216,960) (105,733) (216,960) Deficit for the year (2,643,757) (2,170,728) (2,167,353) (2,519,768)
The supplementary information presented does not form part of the combined annual financial statements and is unaudited
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DETAILED INCOME STATEMENT
Combined Council Figures In Rand Note(s) 2010 2009 2010 2009 OPERATING EXPENSES Advertising (134,533) (7,807) (134,533) (7,807) Auditors remuneration 15 (178,840) (240,673) (178,840) (240,673) Bad debts (1,962,671) (73,180) (1,962,671) (73,180) Bank charges (55,411) (67,623) (54,752) (67,218) Computer expenses (61,445) (175,096) (61,445) (175,096) Consulting and professional fees (1,461,718) (2,075,824) (1,461,718) (2,075,824) Courier cost (41,217) (80,584) (41,217) (80,584) Depreciation, amortisation and impairments (565,921) (241,042) (565,921) (241,042) Document storage (13,179) (912) (13,179) (912) Donations (670,798) (88,772) – (88,772) Employee costs (7,110,374) (3,970,692) (7,110,374) (3,970,692) Equipment (3,003) (30,212) (3,003) (30,212) Equipment hire –- (8,042) – (8,042) Examination lees (29,793) (54,367) (29,793) (54,367) Fee levy - CBE (356,337) (398,472) (356,337) (398,472) Fee levy - Education Fund – – (842,284) (705,800) Gifts and awards (9,815) (1,110) (9,815) (1,110) Honorariums (960,129) (325,182) (960,129) (325,182) Insurance (42,745) (48,005) (42,745) (48,005) Lease rentals an operating lease (567,438) (398,964) (567,438) (398,964) Legal expenses (970,411) (385,210) (970,411) (385,210) Levies (416) - (416) – License fees (66,253) (33,685) (66,253) (33,685) Loss on disposal of assets – (137,910) – (137,910)
The supplementary information presented does not form part of the combined annual financial statements and is unaudited 102 SACAP Annual Report 2009 - 2010 Section Four SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION (ESTABLISHED UNDER THE ARCHITECTURAL PROFESSION ACT NO 44 OF 2000) Combined Annual Financial Statements for the year ended 31 March 2010
DETAILED INCOME STATEMENT
Combined Council Figures In Rand Note(s) 2010 2009 2010 2009 OPERATING EXPENSES Loss relating to missing cash – (500) – (500) Marketing (226,962) (899,416) (226,962) (899,416) Meeting expenses (466,778) (568,914) (466,778) (568,914) Motor vehicle expenses (14,109) (11,716) (14,109) (11,716) Office plants (30,769) (18,024) (30,769) (18,024) Penalties - SARS (21,320) (218,078) (21,320) (218,078) Postage (889,935) (297,515) (889,935) (297,515) Printing and stationery (402,444) (462,227) (402,444) (462,227) RPL Assessments – (9,120) – (9,120) Registration certificates (840) (35,085) (840) (35,085) Relocation costs – (23,558) – (23,558) Repairs and maintenance (39,239) (41,675) (39,239) (41,675) Security (23,843) (28,782) (23,843) (28,782) Sponsorships and grants (897,542) (1,905,800) (55,258) (1,200,000) Staff welfare (119,422) (46,983) (119,422) (46,983) Strategic management sessions (10,000) (160,676) (10,000) (160,676) Subscriptions (10,541) (11,413) (10,541) (11,413) Telephone and fax (271,778) (256,261) (271,778) (256,261) Training (87,046) (60,884) (87,046) (60,884) Travel - local (884,603) (85,140) (884, 603) (85,140) Travel - overseas (58,107) (890,946) (58,107) (890,946) Utilities (87,976) (71,265) (87,976) (71,265) Website cost (295,030) (130,024) (295,030) (130,024) (20,100,731) (15,077,366) (19,429,274) (15,076,961)
The supplementary information presented does not form part of the combined annual financial statements and is unaudited
103 SACAP Annual Report 2009 - 2010 Section Four THE EDUCATION FUND OF THE SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION Annual Financial Statements for the year ended 31 March 2010
SACAP EDUCATION FUND ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2010
INDEX The reports and statements set out below comprise the annual financial statements presented to the Council members: INDEX PAGE Report of the Independent Auditors 105 Councils’ Responsibilities and Approval 106 Registrar’s Report 107 Statement of Financial Position 108 Statement of Comprehensive Income 109 Statement of Changes in Funds 109 Cash Flow Statement 110 Accounting Policies 111 Notes to the Annual Financial Statements 111 The following supplementary information does not form part of the annual financial statements and is unaudited:
Detailed Income statement 115
104 SACAP Annual Report 2009 - 2010 Section Four THE EDUCATION FUND OF THE SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION Annual Financial Statements for the year ended 31 March 2010
REPORT OF THE INDEPENDENT AUDITORS
To the council members of The Education standards require that we comply with ethical accordance with Fund of the South African Council for the requirements and plan and perform the audit to International Financial Reporting Standards, and Architectural Profession obtain reasonable assurance whether the annual in the manner required by the Architectural financial statements are free from material We have audited the accompanying annual Profession Act no 44 of 2000. misstatement. financial statements of The Education Fund of the Accounting and Secretarial Duties South African Council for the Architectural An audit involves performing procedures to Profession, which comprise the Registrar’s report, obtain audit evidence about the amounts and Without qualifying our opinion, we draw your the balance sheet as at 31 March 2010, the disclosures in the annual financial statements. attention to the fact that with the written consent income statement, the statement of changes in The procedures selected depend on the auditors’ of the Council, we have performed certain funds and cash flow statement for the year then judgement, including the assessment of the risks accounting and secretarial duties. ended, a summary of significant accounting of material misstatement of the annual financial Supplementary Information policies and other explanatory notes, as set out statements, whether due to fraud or error. In on pages 107 to 114. making those risk assessments, the auditor We draw your attention to the fact that the considers internal control relevant to the entity’s supplementary information set out on page 115 Councils’ Responsibility for the Financial preparation and fair presentation of the annual does not form part of the annual financial Statements financial statements in order to design audit statements and is presented as additional Council is responsible for the preparation and procedures that are appropriate in the information. We have not audited this fair presentation of these annual financial circumstances, but not for the purpose of information and accordingly do not express an statements in accordance with International expressing an opinion on the effectiveness of the opinion thereon. Financial Reporting Standards, and in the entity’s internal control. An audit also includes manner required by the Architectural Profession evaluating the appropriateness of accounting Act no 44 of 2000. This responsibility includes: policies used and the reasonableness of designing, implementing and maintaining accounting estimates made by the trustees, as SizweNtsaluba ES Inc internal control relevant to the preparation and well as evaluating the overall presentation of the Registered Auditors fair presentation of annual financial statements annual financial statements. Per: Cilliers van Zyl that are free from material misstatement, whether We believe that the audit evidence we have Pretoria due to fraud or error; selecting and applying obtained is sufficient and appropriate to provide appropriate accounting policies; and making 21 August 2010 a basis for our audit opinion. accounting estimates that are reasonable in the circumstances. Opinion Auditors’ Responsibility In our opinion, the annual financial statements present fairly, in all material respects, the Our responsibility is to express an opinion on financial position of the fund as of 31 March these annual financial statements based on our 2010, and of its financial performance and its audit. We conducted our audit in accordance cash flows for the year then ended in with International Standards on Auditing. Those 105 SACAP Annual Report 2009 - 2010 Section Four THE EDUCATION FUND OF THE SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION Annual Financial Statements for the year ended 31 March 2010
COUNCILS’ RESPONSIBILITIES AND APPROVAL
Council is required to maintain adequate standards in ensuring the fund’s business is fund’s external auditors and their report is accounting records and is responsible for the conducted in a manner that in all reasonable presented on page 105. content and integrity of the annual financial circumstances is above reproach. The focus of The annual financial statements set out on pages statements and related financial information risk management in the fund is on identifying, 107 to 114, which have been prepared on the included in this report. It is its responsibility to assessing, managing and monitoring all known going concern basis, were approved by the ensure that the annual financial statements fairly forms of risk across the fund. While operating Council on 21 August 2010 and were signed on present the state of affairs of the fund as at the risk cannot be fully eliminated, the fund its behalf by: end of the financial year and the results of its endeavours to minimise it by ensuring that operations and cash flows for the period then appropriate infrastructure, controls, systems and ended, in conformity with International Financial ethical behaviour are applied and managed Reporting Standards. The external auditors are within predetermined procedures and engaged to express an independent opinion on constraints. the annual financial statements. Council is of the opinion, based on the The annual financial statements are prepared in information and explanations given by Mr P Mashabane - President accordance with International Financial management, that the system of internal control Reporting Standards and are based upon provides reasonable assurance that the financial appropriate accounting policies consistently records may be relied on for the preparation of applied and supported by reasonable and the annual financial statements. However, any prudent judgments and estimates. system of internal financial control can provide only reasonable, and not absolute, assurance Council acknowledges that it is ultimately against material misstatement or loss. responsible for the system of internal financial Ms D Brislin - Registrar control established by the fund and place Council has reviewed the fund’s cash flow considerable importance on maintaining a forecast for the year to 31 March 2011 and, in strong control environment. To enable the the light of this review and the current financial Council to meet these responsibilities, the position, it is satisfied that the fund has or has executive committee sets standards for internal access to adequate resources to continue in control aimed at reducing the risk of error or loss operational existence for the foreseeable future. in a cost effective manner. The standards include Although Council is primarily responsible for the the proper delegation of responsibilities within a Ms A Houston - Treasurer financial affairs of the fund, they are supported clearly defined framework, effective accounting by the fund’s external auditors. procedures and adequate segregation of duties to ensure an acceptable level of risk. The external auditors are responsible for independently reviewing and reporting on the These controls are monitored throughout the fund fund’s annual financial statements. The annual and all employees are required to maintain the financial statements have been examined by the highest ethical 106 SACAP Annual Report 2009 - 2010 Section Four THE EDUCATION FUND OF THE SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION Annual Financial Statements for the year ended 31 March 2010
REGISTRAR’S REPORT
The registrar submits her report for the year applicable to a going concern. This basis 4. AUDITORS ended 31 March 2010. presumes that funds will be available to finance SizweNtsaluba ES Inc will continue in office for future operations and that the realisation of 1. REVIEW OF ACTIVITIES the next financial period. assets and settlement of liabilities, contingent Main business and operations obligations and commitments will occur in the 5. REGISTERED ADDRESS ordinary course of business. The Education Fund is a fund that was 1st Floor, Lakeside Place established by the South African Council for the 3. COUNCIL MEMBERS Cnr Ernest Oppenheimer and Queen Street Architectural Profession for the purpose of Bruma The Council members of the Educational Fund of education, training and continuing education 2026 the South African Council for the Architectural and training of registered persons and students Profession during the year and to the date of this in the architectural profession. report are as follows: The South African Council for the Architectural Profession may render assistance to educational Name Nationality Changes institutions, voluntary associations or examining Mr P Mashabane - President South African Appointed 01 October 2009 body with regard to educational facilities for and Ms P Scott - Vice President South African Re-appointed 01 October 2009 the training of registered persons and prospective registered persons. Ms A Houston - Treasurer South African Appointed 01 October 2009 The South African Council for the Architectural Mr F Motsepe South African Appointed 01 October 2009 Profession maintains full control of the Education Prof G Steyn South African Re-appointed 01 October 2009 Fund for Architectural Profession. Mr P Crafford South African Re-appointed 01 October 2009 The mission is aligned with that of SACAP. Ms M Nienaber South African Appointed 01 October 2009 The South African Council for the Architectural Ms M Gerrans South African Appointed 01 October 2009 Profession is tasked with making the major Mr V Mthimunye South African Appointed 01 October 2009 decisions within the organisation. Mr R Ruiters South African Appointed 01 October 2009 The operating results and state of affairs of the Mr D Basdew South African Appointed 01 October 2009 Education Fund are fully set out in the attached annual financial statements and do not in our Mr M Campbell - President South African Term ended 30 September 2009 opinion require any further comment. Mr K Moleko - Vice President South African Term ended 30 September 2009 Net deficit of the fund was R476,404 (2009: Mr S Njobe - Treasurer South African Term ended 30 September 2009 surplus R349,040). Mr J Barnard South African Term ended 30 September 2009 2. GOING CONCERN Ms P Emmett South African Term ended 30 September 2009 The annual financial statements have been Mr R Naicker South African Term ended 30 September 2009 prepared on the basis of accounting policies Mr T Mthethwa South African Term ended 30 September 2009 107 SACAP Annual Report 2009 - 2010 Section Four THE EDUCATION FUND OF THE SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION Annual Financial Statements for the year ended 31 March 2010
STATEMENT OF FINANCIAL POSITION
Figures in Rand Note(s) 2010 2009 ASSETS CURRENT ASSETS Other financial assets 3 2,768,967 2,605,561 Trade and other receivables 4 162,493 162,493 Cash and cash equivalents 5 583,366 1,152,378 3,514,826 3,920,432 Total Assets 3,514,826 3,920,432
FUNDS AND LIABILITIES FUNDS Accumulated surplus 3,382,579 3,858,983 LIABILITIES CURRENT LIABILITIES Trade and other payables 132,247 61,449 Total Funds and Liabilities 3,514,826 3,920,432
108 SACAP Annual Report 2009 - 2010 Section Four THE EDUCATION FUND OF THE SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION Annual Financial Statements for the year ended 31 March 2010
STATEMENT OF COMPREHENSIVE INCOME
Figures in Rand Note(s) 2010 2009 Grants Received 842,284 705,800 Operating expenses (1,513,741) (706,205) Operating deficit (671,457) (405) Investment revenue 6 195,053 349,445 (Deficit) surplus for the year (476,404) 349,040
STATEMENT OF CHANGES IN FUNDS
Figures in Rand Accumulated Total funds surplus Balance at 01 April 2008 3,509,943 3,509,943 Changes in funds Surplus for the year 349,040 349,040 Total changes 349,040 349,040 Balance at 01 April 2009 3,858,983 3,858,983 Changes in funds Deficit for the year (476,404) (476,404) Total changes (476,404) (476,404) Balance at 31 March 2010 3,382,579 3,382,579
109 SACAP Annual Report 2009 - 2010 Section Four THE EDUCATION FUND OF THE SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION Annual Financial Statements for the year ended 31 March 2010
CASH FLOW STATEMENT
Figures in Rand Note(s) 2010 2009 CASH FLOWS FROM OPERATING ACTIVITIES Cash used in operations 7 (600,659) (405) Interest income 195,053 349,445 Net cash from operating activities (405,606) 349,040
CASH FLOWS FROM INVESTING ACTIVITIES Increase in financial assets (163,406) (253,596) Net cash from investing activities (163,406) (253,596) (569,012) 95,444 Total cash movement for the year Cash at the beginning of the year 1,152,378 1,056,933 Total cash at end of the year 5 583,366 1,152,377
110 SACAP Annual Report 2009 - 2010 Section Four THE EDUCATION FUND OF THE SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION Annual Financial Statements for the year ended 31 March 2010
ACCOUNTING POLICIES AND NOTES
1. PRESENTATION OF ANNUAL Taxation The amendment permits an entity to reclassify FINANCIAL STATEMENTS certain financial assets out of the fair value The receipts and accruals to the fund are exempt through profit or loss category if certain stringent The annual financial statements have been from income tax in terms of the provisions of conditions are met. It also permits an entity to prepared in accordance with International section 10(1)(cA)(i) of the Income Tax Act. transfer from the available for sale category to Financial Reporting Standards. loans and receivables under certain The annual financial statements have been circumstances. Additional disclosures are prepared on the historical cost basis, except for required in the event of any of these certain financial instruments at fair value, and reclassifications. incorporate the principal accounting policies set NOTES The effective date of the amendment is for years out below. 2. NEW STANDARDS AND beginning on or after 01 July 2009. These accounting policies are consistent with the INTERPRETATIONS The fund expects to adopt the amendment for the previous period. 2.1 Standards and interpretations first time in the 2011 annual financial statements. 1.1 SIGNIFICANT JUDGEMENTS effective and adopted in the current It is unlikely that the amendment will have a In preparing the annual financial statements, year material impact on the fund’s annual financial management is required to make estimates and In the current year, the fund has not adopted any statements. assumptions that affect the amounts represented effective standards and interpretations as none in the annual financial statements and related are relevant to its operations. disclosures. Use of available information and the application of judgement is inherent in the 2.2 Standards and Interpretations early formation of estimates. Actual results in the future adopted could differ from these estimates which may be The fund has not chosen to early adopt any material to the annual financial statements. standards and interpretations. Significant judgements include: 2.3 Standards and interpretations not Trade Receivables yet effective The fund assesses its trade receivables for The fund has chosen not to early adopt the impairment at each balance sheet date. In following standards and interpretations, which determining whether an impairment loss should have been published and are mandatory for the be recorded in the income statement, the fund fund’s accounting periods beginning on or after makes judgements as to whether there is 01 April 2010 or later periods: observable data indicating a measurable decrease in the estimated future cash flows from Amendment to IAS 39 and IFRS 7: a financial asset. Reclassification of Financial Assets
111 SACAP Annual Report 2009 - 2010 Section Four THE EDUCATION FUND OF THE SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION Annual Financial Statements for the year ended 31 March 2010
NOTES (CONTINUED)
3. OTHER FINANCIAL ASSETS
Figures in Rand 2010 2009 Investments Nedbank Call Deposit 539,423 510,997 Nedbank 32-day ntc dep @ 9.85% 206,741 193,351 Nedbank Call @ 7.75% 821,303 776,079 Investec 32 Day Notice (Prime Linked) 539,180 505,710 Nedbank 32-day ntc dep @ 9.85% 662,320 619,424 2,768,967 2,605,561 Current assets Loans and receivables 2,768,967 2,605,561
4. TRADE AND OTHER RECEIVABLES Trade receivables 162,493 162,493 The carrying value of trade and other receivables reflects the approximate fair value at year end.
5. CASH AND CASH EQUIVALENTS Cash and cash equivalents consist of: Bank balances 583,366 1,152,378
6. INVESTMENT REVENUE Interest revenue Bank 195,053 349,445
112 SACAP Annual Report 2009 - 2010 Section Four THE EDUCATION FUND OF THE SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION Annual Financial Statements for the year ended 31 March 2010
NOTES (CONTINUED)
Figures in Rand 2010 2009 7. CASH USED IN OPERATIONS (Deficit) surplus before taxation (476,404) 349,040 Adjustments for: Interest received (195,053) (349,445) Changes in working capital: Trade and other payables 70,798 - (600,659) (405) 8. RELATED PARTIES Relationships South African Council for the Architectural Profession Significant influence Related party balances Amounts included in Trade receivable (Trade Payable) regarding related parties SACAP 157,403 157,403 Related party transactions Grants received South African Council for the Architectural Profession 842,284 705,800
113 SACAP Annual Report 2009 - 2010 Section Four THE EDUCATION FUND OF THE SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION Annual Financial Statements for the year ended 31 March 2010
NOTES (CONTINUED)
9. RISK MANAGEMENT Capital risk management The fund’s objectives when managing capital are to safeguard the fund’s ability to continue as a going concern in order to provide returns for members and benefits for other stakeholders and to maintain an optimal capital structure to reduce the cost of capital. The capital structure of the fund consists of cash and cash equivalents disclosed in note 5, and accumulated funds as disclosed in the balance sheet. Consistent with others in the industry, the fund monitors capital on the basis of the gearing ratio. There are no externally imposed capital requirements. Financial risk management The fund’s activities expose it to a variety of financial risks: market risk (including currency risk and cash flow interest rate risk), and liquidity risk. Liquidity risk Prudent liquidity risk management implies maintaining sufficient cash and marketable securities. The fund’s risk to liquidity is a result of the funds available to cover future commitments. The fund manages liquidity risk through an ongoing review of future commitments. Cash flow forecasts are prepared and adequate utilised borrowing facilities are monitored. Interest rate risk The following table demonstrates the sensitivity to a reasonable possible change in interest rates, with all other variables held constant of the company’s profit before tax. Interest rate risk table
Increase / Effect on profit Effect on (decrease) in before tax equity base points South African Rand 1% 41,110 41,110 South African Rand (1%) (41,110) (41,110)
114 SACAP Annual Report 2009 - 2010 Section Four THE EDUCATION FUND OF THE SOUTH AFRICAN COUNCIL FOR THE ARCHITECTURAL PROFESSION Annual Financial Statements for the year ended 31 March 2010
NOTES (CONTINUED)
Credit risk Credit risk consists mainly of cash deposits and cash equivalents. The fund only deposits cash with major banks with high quality credit standing and limits exposure to any one counter-party. Trade receivables comprise of balance owed by SACAP which is a regulatory body in terms of the Architectural
DETAILED INCOME STATEMENT
Figures in Rand Note(s) 2010 2009 OTHER INCOME Grants Received 842,284 705,800 Interest received 6 195,053 349,445 1,037,337 1,055,245 OPERATING EXPENSES Bank charges (659) (405) Donations (670,798) - Grants (842,284) (705,800) (1,513,741) (706,205) (Deficit) surplus for the year (476,404) 349,040 The supplementary information presented does not form part of the annual financial statements and is unaudited
115 SACAP Annual Report 2009 - 2010 Section Two Operations
116 SACAP Annual Report 2009 - 2010 Glossary
Stakeholders (National) Stakeholders (International)
CBE Council for the Built Environment AUA African Union of Architects
CHE Council for Higher Education ARB Architectural Regulations Board
CIDB Construction Industry Development Board CAA Commonwealth Association of Architects
DPW Department of Public Works RIBA Royal Institute of British Architects
DEAT Department of Environmental Affairs and UIA International Union of Architects Tourism Stakeholders (Accredited Learning Sites) ALS DTI Department of Trade and Industry CPUT Cape Peninsula University of Technology DLA Department of Land Affairs DUT Durban University of Technology DAC Department of Arts and Culture UKZN University of KwaZulu-Natal DOE Department of Education NMMU Nelson Mandela Metropolitan University ECSA Engineering Council of South Africa TUT Tshwane University of Technology NHBRC National Home Builders Regulations Council UCT University of Cape Town SACAP South African Council for the Architectural Profession UFS University of the Free State
SAQA South African Qualifications Authority UJ University of Johannesburg
SACPCMP South Africa Council for Project & Construction UP University of Pretoria Managers Profession WITS University of the Witwatersrand
SACQSP South African Council for the Quantity INSCAPE Inscape Design College Surveyors Profession
117 SACAP Annual Report 2009 - 2010 Stakeholders (Voluntary Associations) PSAT Professional Senior Architectural Technologist
SAIA South African Institute of Architects Pr Arch Professional Architect
SAIAT South African Institute of Architectural Other - Generic Technologists Act 44 of 2000 Architectural Profession Act No 44 of 2000 SAIBD South African Institute of Building Design ALS Accredited learning Site SAID South African Institute of Draughting AAFF Architect Africa Film Festival BKIA Border Kei Institute of Architects CPD Continuing Professional Development CIA Cape Institute for Architecture ICT Information, Communication and Technology ECIA Eastern Cape Institute of Architects HR Human Resources FSIA Free State Institute of Architects MCS Management Control Systems GIfA Gauteng Institute for Architecture PFMA Public Finance Management Act IID South African Institute of Interior Design Professions QMS Quality Management Systems
KZNIA KwaZulu-Natal Institute for Architecture RPL Recognition Prior Learning PIA Pretoria Institute for Architecture Credits
SACAP Categories of Registration Concept, design and layout: Limeblue Design
CANT Candidate Architect Images: Tripod Architectural Photographic Competition 2009 CAD Candidate Architectural Draughtsperson SACAP Marketing and CAT Candidate Architectural Technologist Communication Unit CSAT Candidate Senior Architect Technologist Interviews/Articles: Nicola King (Nikita PAD Professional Architectural Draughtsperson Communications)
PAT Professional Architectural Technologist 118 SACAP Annual Report 2009 - 2010 119 SACAP Annual Report 2009 - 2010 SA Council for the Architectural Profession (SACAP)
Tel: +27 11 479 5000 Fax: +27 11 479 5100 website: www.sacapsa.com
1st Floor, Lakeside Place, Cnr Ernest Oppenheimer and Queen Streets Bruma 2026 120
SACAP Annual Report 2009 - 2010